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Fly News Breaks for December 18, 2019
Dec 18, 2019 | 05:16 EDT
The Federal Trade Commission's action to block Illumina (ILMN) from acquiring Pacific Biosciences of California (PACB) due to anti-competitive concerns is unsurprising given the U.K.'s Competition and Markets Authority's decision to block the deal, Piper Jaffray analyst William Quirk tells investors in a research note. The analyst believes Illumina will continue to invest in its own long-read technology and look into a distribution partnership with Pacific Biosciences. The latter's Sequel II launch is progressing well and any partnership with Illumina would drive additional volume, contends Quirk. As such, he views the selloff in shares of Pacific Biosciences as a "strong buying opportunity." The analyst reiterates an Overweight rating on the name with a $7 price target. The stock in premarket trading is down 8% to $4.93.