Illumina (NASDAQ:ILMN) has been instructed by European Union antitrust regulators to divest cancer test maker Grail, following the company's closure of the acquisition without obtaining prior approval from the EU. This action confirms reports from earlier in the week.
"With today's decision, the Commission has adopted restorative measures requiring Illumina to divest Grail and restore the situation prevailing before the completion of the acquisition," the European Commission said in a statement.
The European Commission has previously fined Illumina approximately €432 million ($476.2M) for implementing the proposed merger with Grail before receiving the approval.
Illumina is required to keep Grail separate and viable until the sale is completed. Meanwhile, the company can choose its divestment method.
Illumina has announced that it is currently assessing the divestment order.
Illumina agreed to acquire Grail in 2020 for $7.1 billion and was almost immediately the subject of antitrust scrutiny from antitrust regulators in the U.S. and Europe.
Shares of Illumina are down 32% year-to-date.