Genzyme has entered into an asset purchase agreement with Laboratory Corporation of America Holdings (LabCorp), selling its genetic testing business for $925m.
Under the agreement, LabCorp will acquire the business in its entirety, including all testing services, technology, intellectual property rights and nine testing laboratories.
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Genzyme had previously signalled its intention to increase shareholder value by seeking alternatives for three units, in a move designed to strengthen the company following recent operational and organisational changes.
The Massachusetts-based biotechnology firm, which has recently been the subject of a takeover bid by Sanofi-Aventis, also plans to divest its diagnostic products and pharmaceutical intermediates units, with proceeds used to finance the second half of the company’s $2bn stock buyback.
