Big Pharma is racing to find a cure for all types of cancer. Now there’s a $2.8 billion deal that unites two cancer diagnostics companies.

Exact Sciences Corporation (NYSE: EXAS), a molecular diagnostics company and maker of the Cologuard colorectal screening test, announced its acquisition of Genomic Health, Inc. (NASDAQ: GHDX) in late July.

Genomic Health provides genomic-based diagnostic tests that improve cancer care, including addressing the overtreatment of the disease. Its lead product, Oncotype DX, manages clinical and genomic big data to support research and treatment for over 1 million cancer patients.

The combined company will offer two of the strongest brands in cancer diagnostics, Cologuard and Oncotype DX. With this platform, the company expects to continue to increase adoption of current tests, and to bring new innovative cancer diagnostics to patients throughout the world.

It will have a commercial presence in more than 90 countries and expanded reach across primary care, oncology, OB/GYN, gastroenterology, and urology to support growth of existing and future cancer tests. Genomic Health’s presence in the San Francisco Bay Area will be the basis to expand, providing lab infrastructure in California, where the Medicare Administrative Contractor participates in the MolDx program, which may facilitate reimbursement of future liquid biopsy products.

On a pro forma basis, the combined company expects to generate revenue of approximately $1.6 billion and gross profit of approximately $1.2 billion in 2020. The combination is also expected to generate annualized cost synergies of approximately $25 million within the third full year following close, primarily through reducing public company costs and purchasing optimization.

Under the terms of the agreement, Genomic Health stockholders will receive $27.50 in cash and $44.50 in shares of Exact Sciences stock, subject to a 10% collar centered on Exact Sciences’ volume-weighted average price for the 45 trading days ended July 26, 2019. At closing, Exact Sciences shareholders will own approximately 91% of the company and Genomic shareholders will own 11%.