Exact Sciences (NASDAQ:EXAS) extended its rally on Thursday, jumping another 17% after soaring 24% the previous day. The renewed surge came after Abbott (NYSE:ABT) formally confirmed it will acquire the cancer diagnostics specialist in a deal worth roughly $21 billion.
In premarket trading, Exact Sciences shares traded around $101, following Wednesday’s close of $86.18, a level already boosted nearly 24% amid Bloomberg’s early reporting of the pending acquisition—now officially validated.
According to the deal announcement, Exact Sciences investors will be paid $105 per share in cash, a premium that appears to surpass what many analysts had anticipated. With net debt of approximately $1.8 billion included, the agreement values the company at an enterprise value near $23 billion.
The takeover marks a major expansion for Abbott into the rapidly growing $60 billion U.S. cancer screening and precision oncology diagnostics market. Exact Sciences is on track to generate more than $3 billion in revenue this year, driven by high-teens organic growth, and adds two flagship products to Abbott’s portfolio: the Cologuard colorectal cancer screening test and the Oncotype DX precision oncology test.
Abbott said the acquisition is expected to immediately boost its revenue growth and gross margin. Once the deal closes—targeted for the second quarter of 2026—Exact Sciences will operate as an Abbott subsidiary, raising Abbott’s annual diagnostics revenue to more than $12 billion.
The transaction has received unanimous approval from both companies’ boards but will still require Exact Sciences shareholder approval and regulatory sign-off before it can proceed.