Skip to main content
Premium Trial:

Request an Annual Quote

Rosetta Genomics Dispute With Genoptix Places Pending Merger in Jeopardy

NEW YORK (GenomeWeb) – Rosetta Genomics said today that its previously announced merger with Genoptix may not occur due to a dispute between the companies.

If the transaction is not completed by the end of the day, Rosetta said it intends to file for bankruptcy protection in the US and Israel where it maintains operations.

In late 2017, Genoptix agreed to acquire Rosetta for $10 million in cash, but the deal was scuttled earlier this year after failing to generate enough support from Rosetta's shareholders. Shortly thereafter, the companies signed a new merger agreement — which valued Rosetta at $9 million — that was ultimately approved by Rosetta's shareholders.

While that new deal was supposed to close on May 27, Rosetta disclosed today that Genoptix has "refused to provide assurances that it intends to complete the transaction" due to an undisclosed "material adverse effect" affecting Rosetta, as well as breaches of representations and warranties.

These issues would eliminate Genoptix's obligation to complete the merger, though Rosetta said it disputes them.

The Scan

Positive Framing of Genetic Studies Can Spark Mistrust Among Underrepresented Groups

Researchers in Human Genetics and Genomics Advances report that how researchers describe genomic studies may alienate potential participants.

Small Study of Gene Editing to Treat Sickle Cell Disease

In a Novartis-sponsored study in the New England Journal of Medicine, researchers found that a CRISPR-Cas9-based treatment targeting promoters of genes encoding fetal hemoglobin could reduce disease symptoms.

Gut Microbiome Changes Appear in Infants Before They Develop Eczema, Study Finds

Researchers report in mSystems that infants experienced an enrichment in Clostridium sensu stricto 1 and Finegoldia and a depletion of Bacteroides before developing eczema.

Acute Myeloid Leukemia Treatment Specificity Enhanced With Stem Cell Editing

A study in Nature suggests epitope editing in donor stem cells prior to bone marrow transplants can stave off toxicity when targeting acute myeloid leukemia with immunotherapy.