On April 27, Quest Diagnostics made waves in the cancer testing market by unveiling its new definitive agreement to purchase Haystack Oncology for up to $450 million in cash, including $300 million upon closing.
Acquiring the Johns Hopkins spin out and its liquid biopsy ctDNA test for post-surgery identification of patients with minimal residual disease (MRD) who might benefit from adjuvant chemotherapy for stage II colon cancer will significantly strengthen Quest’s oncology offerings.
Quest intends to begin providing MRD testing based on the Haystack technology by the start of 2024, with the initial focus on colorectal, breast, and lung cancer.
“We are excited by the opportunity to work together with Haystack Oncology, a company that we believe has developed a best-in-class ctDNA MRD technology,” said Jim Davis, chairman, CEO, and president, Quest Diagnostics, in the statement announcing the deal. “Haystack’s liquid biopsy technology, combined with Quest’s strengths in screening, pathology, and sequencing, will now position us to lead in the fast-growing MRD category. Working with Haystack, we have an opportunity to broaden access to MRD insights and potentially improve favorable long-term outcomes from cancer.”
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