Billionaire Carl Icahn has launched a class-action lawsuit against the board of Illumina, claiming that they acted against the company’s and its investors’ best interests by approving the controversial $8 billion acquisition of Grail. This acquisition was completed in August 2021 despite opposition from US and European competition watchdogs. Since then, the Federal Trade Commission and the European Commission’s regulators have requested Illumina to undo its ownership of Grail and levied a $476 million fine on the company; Illumina has appealed these decisions. Icahn’s lawsuit alleges that this acquisition has resulted in billions in losses and a 70% drop in Illumina’s share price. He demands compensation equivalent to the regulatory fine and the costs of supporting Grail’s business, among other expenses. The lawsuit also calls for the remaining board members, including former FDA Commissioner Scott Gottlieb and Nobel Prize winner Frances Arnold, to be removed.
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[Source: Fierce Biotech, October 24th, 2023]