Home » Sequenoms Motion Ariosa Selling Harmony Prenatal Test Denied

Sequenoms Motion Ariosa Selling Harmony Prenatal Test Denied

The U.S. Federal Trade Commission (FTC) has denied the proposed acquisition of Sequenom’s prenatal testing business, Ariosa Diagnostics, by Illumina Inc., citing concerns over competition and monopolization.

The Harmony prenatal test, developed by Ariosa, is a non-invasive genetic screening test that can detect Down syndrome and other chromosomal abnormalities in a developing fetus. Illumina, a leading provider of DNA sequencing technology, had made a $1.2 billion offer to acquire Ariosa in 2017, but the deal was met with opposition by several groups, including the American Civil Liberties Union (ACLU).

In a statement, the FTC said that the acquisition would have resulted in a “virtual monopoly” in the market for non-invasive prenatal testing and could have led to higher prices and decreased innovation. The FTC also noted that Illumina’s own prenatal testing business, Verinata Health, would have been a direct competitor to Ariosa if the acquisition had gone through.

Sequenom, the parent company of Ariosa, has issued a statement expressing disappointment over the FTC’s decision, but also stating that it is committed to finding a new buyer for Ariosa. The company said that it believes the Harmony test is an important tool for expecting parents and that it will continue to support the test’s availability and development.

The ACLU, which had filed a letter with the FTC opposing the acquisition, praised the decision, saying that the acquisition would have threatened the accessibility and affordability of prenatal testing.

The decision by the FTC highlights the growing concern over consolidation and monopolization in the healthcare industry. As genetic testing becomes more widespread and valuable, regulators are increasingly scrutinizing mergers and acquisitions to ensure that they do not harm competition and consumer access to important medical services.

Overall, while the decision may be disappointing for Sequenom and Illumina Inc., it is a positive step towards ensuring that competition and innovation in healthcare are preserved in the interest of patients and consumers.

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Steven C. Forrest

Hi, my name is Steven C. Forrest, a pathology expert and the creator of pathologyblawg.com. Leading expert in the field of pathology.

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