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Abbott Acquisition of Alere Cleared by European Commission

NEW YORK (GenomeWeb) – Alere said today that the European Commission has granted clearance for its acquisition by Abbott.

The announcement came almost immediately after Abbott completed its fourth quarter earnings call, which was notable in part for its relative silence about the proposed Alere acquisition.

“This regulatory clearance marks a significant milestone toward the completion of our transaction with Abbott, and we remain highly confident that the merger will close according to the terms of the agreement,” Alere CEO Namal Nawana said in a statement.

Alere entered into the acquisition agreement with Abbott on Feb. 1, 2016. Abbott agreed to pay $56 per share for the smaller company. Abbott's commitment to the deal remains in doubt, however, as it has attempted to exit the deal — the company filed a complaint in December with the Delaware Chancery Court to terminate the proposed transaction, citing a material adverse event resulting in a substantial loss in the value of Alere since the transaction was proposed.

Canaccord Genuity analyst Marc Massaro said recently in an interview that he believes a trial to decide the outcome of Abbott's complaint could happen in April, and noted that the deal is likely to go through.