European Court of Justice rules in favor of Illumina in jurisdictional appeal

Rhea-AI Summary

Illumina (NASDAQ: ILMN) has won a significant legal victory as the European Court of Justice (ECJ) ruled that the European Commission lacked jurisdiction over Illumina's acquisition of GRAIL. This decision removes the basis for a 432 million euro fine previously imposed on Illumina. The ruling comes after Illumina's spin-off of GRAIL in June 2024, which resulted in GRAIL becoming an independent public company. Illumina now holds a 14.5% minority stake in GRAIL and will continue to support it with sequencing technology and services. Additionally, in the United States, the FTC Commissioners dismissed the case against Illumina and GRAIL on August 15, 2024, following the successful spin-off, concluding the US proceedings.

Positive

• ECJ ruling removes the 432 million euro fine for Illumina
• FTC case against Illumina and GRAIL dismissed in the US
• Illumina retains a 14.5% stake in GRAIL, now an independent public company

Negative

• None.

News Market Reaction – ILMN

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-0.87% News Effect

On the day this news was published, ILMN declined 0.87%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

SAN DIEGO, Sept. 3, 2024 /PRNewswire/ -- Illumina, Inc. (NASDAQ: ILMN), a global leader in DNA sequencing and array-based technologies, welcomes the European Court of Justice's (ECJ's) judgment today ruling that the European Commission did not have jurisdiction over Illumina's acquisition of GRAIL.

Today's judgment confirms Illumina's longstanding view that the European Commission exceeded its authority by asserting jurisdiction over this merger. The basis for the 432 million euro fine has now been removed and will no longer be payable.

Following Illumina's spin-off of GRAIL in June 2024, GRAIL is now an independent public company. Illumina maintains a minority share of 14.5% in GRAIL, and Illumina will continue to support the company with its sequencing technology and suite of services.

In the US, the FTC Commissioners dismissed the case against Illumina and GRAIL on August 15, 2024, following the successful spinoff of GRAIL, thus ending the US proceedings.

Use of forward-looking statements
Some of the statements in this press release are forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Actual results could differ materially from expectations expressed or implied in the forward-looking statements if one or more of the underlying assumptions or expectations prove to be inaccurate or are unrealized. Important factors that could cause actual results to differ materially from such expectations are and will be detailed in Illumina's most recent Annual Report on Form 10-K and subsequent Quarterly Report on Form 10-Q, including in each case under the heading Risk Factors, and in Illumina's other filings with the U.S. Securities and Exchange Commission. These forward-looking statements are based on management's current expectations and are subject to certain risks, uncertainty, and changes in circumstances including, without limitation, whether the spin-off will be consummated on the expected terms, or at all. Illumina undertakes no responsibility for updating these statements, and these statements speak only as of the date of this press release.

About Illumina
Illumina is improving human health by unlocking the power of the genome. Our focus on innovation has established us as a global leader in DNA sequencing and array-based technologies, serving customers in the research, clinical, and applied markets. Our products are used for applications in the life sciences, oncology, reproductive health, agriculture, and other emerging segments. To learn more, visit www.illumina.com and connect with us on X (Twitter), Facebook, LinkedIn, Instagram, TikTok, and YouTube.

Investors:
Salli Schwartz
858-291-6421
IR@illumina.com 

Media:
Bonny Fowler
740-641-5579
PR@illumina.com 

 

View original content:https://www.prnewswire.com/news-releases/european-court-of-justice-rules-in-favor-of-illumina-in-jurisdictional-appeal-302236494.html

SOURCE Illumina, Inc.

FAQ

What was the European Court of Justice's ruling on Illumina's acquisition of GRAIL?

The European Court of Justice ruled that the European Commission did not have jurisdiction over Illumina's acquisition of GRAIL, confirming Illumina's view that the Commission exceeded its authority.

How does the ECJ ruling affect the fine imposed on Illumina (ILMN)?

The ECJ ruling removes the basis for the 432 million euro fine previously imposed on Illumina, making it no longer payable.

What is the current relationship between Illumina (ILMN) and GRAIL after the spin-off?

Following the spin-off in June 2024, GRAIL is now an independent public company. Illumina maintains a 14.5% minority stake in GRAIL and continues to support it with sequencing technology and services.

What was the outcome of the FTC case against Illumina (ILMN) and GRAIL in the US?

The FTC Commissioners dismissed the case against Illumina and GRAIL on August 15, 2024, following the successful spin-off of GRAIL, ending the US proceedings.