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Complete Genomics shares spike 15% following merger agreement with BGI-Shenzhen
Complete Genomics (GNOM $3.07 +0.40) and BGI-Shenzhen, an international genomics company based in Shenzhen, China, announced that they have entered into a definitive merger agreement. Through this agreement, a wholly-owned U.S. subsidiary of BGI will launch a tender offer to purchase all outstanding shares of common stock of Complete for $3.15 per share in cash, without interest. This price represents approximately a 54% premium to the $2.04 closing price per share of Complete common stock on June 4, 2012, the last trading day prior to Complete's announcement that it was undertaking an evaluation of strategic alternatives to secure the financial resources needed for continued commercialization of its technology. Complete's board of directors has unanimously recommended that stockholders accept the offer and tender their shares. Based on the number of fully diluted outstanding shares of Complete, the aggregate value of the transaction is approximately $117.6 million. In addition, Complete and an affiliate of BGI have entered into an agreement pursuant to which Complete will be provided with up to $30 million in bridge financing for its operations following the signing of the merger agreement.
Complete Genomics (GNOM $3.07 +0.40) and BGI-Shenzhen, an international genomics company based in Shenzhen, China, announced that they have entered