Myriad Genetics has agreed to sell its prenatal health testing business to Labcorp for $210 million in cash.
The business includes Myriad’s Prequel, Foresight, SneakPeek, and FirstGene tests. The companies said the deal, announced Oct. 20, is expected to be finalized by early 2027, subject to regulatory clearance and customary closing conditions.
According to Myriad’s 2025 annual report filed with the US Securities and Exchange Commission, the prenatal unit recorded revenue of $186.3 million, up 5 percent year over year; it accounted for 23 percent of total revenue that year for Myriad. Labcorp said it expects the acquisition to add about $160 million in revenue in the first year. In a statement, Myriad said the prenatal portfolio has been used by thousands of providers and more than 600,000 patients over the past 12 months.
The deal came out of a “disciplined strategic review process,” Myriad CEO Sam Raha said in a statement, and reflects the company’s focus on “strategic priorities tied to the cancer care continuum.”
Shares of Myriad shot up 35 percent to $5.72 in Oct. 20 trading on the Nasdaq.
Bryan Vaughn, executive VP and president of diagnostics at Labcorp, added that the deal fits into the company’s strategy of pursuing growth through specialty testing.
Guggenheim Securities is acting as Myriad’s exclusive financial advisor and Covington & Burling is legal advisor. Barclays is financial advisor to Labcorp and Polsinelli is Labcorp’s legal advisor.
The final deal amount will also include the value of the unit’s inventory at closing. Labcorp added that it expects the deal to be slightly accretive to adjusted earnings in year one, and to reach average diagnostics segment margins by the end of year two, once fully integrated. Other financial details were not disclosed.