Luminex (NASDAQ:LMNX) agrees to acquire Nanosphere (NASDAQ:NSPH) for $58M in cash or $1.35 per share, a 73% premium over Friday's close of $0.78. The transaction will be financed with cash on hand. The deal, expected to close in Q2, should be accretive to non-GAAP earnings by the end of 2017.
Nanosphere generated ~$21M in revenue in 2015 and $6.6M in Q1 2016. It is expected to add $13M to $16M to Luminex's top line this year. The molecular diagnostics company's lead product is the Verigene system, which detects pathogens like Gram-positive and Gram-negative bacteria and Clostridium difficile.
Luminex will host a conference call this morning at 8:30 am ET to discuss the transaction.
Update: On May 23, Luminex ups its offer to $1.70 per share or $77M in response to a competitive bid at $1.50 per share.