On November 20, Abbott and Exact Sciences announced a definitive agreement for Abbott to acquire Exact Sciences. The deal will enable Abbott to enter and lead in cancer diagnostics segments, serving millions more people.
Under the terms of the agreement, Exact Sciences shareholders will receive $105 per common share, representing a total equity value of approximately $21 billion and an estimated enterprise value of $23 billion. Abbott’s financing contemplates absorption of Exact Sciences’ estimated $1.8 billion of net debt.
As a leading provider of cancer screening and diagnostics tests, Exact Sciences helps patients and healthcare providers make timely, informed decisions before, during and after a cancer diagnosis. The company’s product line includes brands such as Cologuard and Oncotype DX, along with solutions like the Cancerguard test for multi-cancer early detection and the Oncodetect test for molecular residual disease and recurrence monitoring. Exact Sciences continues to invest in a robust pipeline of advanced cancer diagnostics aimed at improving outcomes. According to its full year (FY) 2024 report, Exact Sciences’ FY 2024 revenue was approximately $2.76 billion, and it’s FY 2024 EBITDA was a loss of $789.3 million.
Abbott manufactures and sells healthcare products worldwide including branded generic drugs, diagnostic products and vascular products. Abbott’s 114,000 employees serve people in more than 160 countries. According to its full-year 2024 results, the company’s annual revenue for FY 2024 was $42 billion, and its FY 2024 EBITDA was approximately $11.75 billion.
The closing is expected in the second quarter of 2026 and is subject to Exact Sciences’ shareholder approval, as well as receipt of applicable regulatory approvals and other customary closing conditions. The transaction was unanimously approved by both companies’ boards of directors.
Exact Sciences is projected to generate more than $3 billion in revenue this year, with a high teens organic sales growth rate. Once the transaction is completed, Exact Sciences will become a subsidiary of Abbott, and Abbott’s total diagnostics sales will exceed $12 billion annually.
“Together with Abbott, we can reach more patients, advance earlier detection, and deliver answers that change lives,” said Kevin Conroy, chairman and chief executive officer, Exact Sciences. “Abbott’s culture of innovation and global commercial reach will help accelerate our mission of eradicating cancer and expanding access to our tests worldwide, while delivering immediate and substantial value to our shareholders. I want to thank the 7,000 Exact Sciences’ team members for their extraordinary work and dedication — our journey has just begun.”
Following the closing, Exact Sciences will maintain its presence in Madison, Wisconsin. Kevin Conroy, CEO of Exact Sciences, will remain with the company in an advisory role to support the transition into Abbott and accelerate its global impact in helping to eradicate cancer worldwide.
Morgan Stanley is serving as the exclusive financial advisor for Abbott and has provided fully committed debt financing, with Wachtell, Lipton, Rosen & Katz serving as legal counsel. Centerview Partners LLC and XMS Capital Partners, LLC are acting as financial advisors and Skadden, Arps, Slate, Meagher & Flom LLP is serving as legal counsel to Exact Sciences.
According to data captured in the LevinPro HC database, this transaction marks the 121st Laboratories, MRI and Dialysis transaction of the year, and the 64th in the diagnostic subsector. Throughout all of 2024, there were 121 Laboratories, MRI and Dialysis transactions, 64 of them in the diagnostic subsector.
The $21 billion price tag ranks this as the largest purchase price in the Laboratories, MRI and Dialysis sector in history, as well as the largest healthcare deal announced by purchase price in 2025, so far.
