Illumina announced Monday that it has successfully completed its spinoff of multicancer early detection test maker Grail, which is now a public and independent company.
Grail began trading on Nasdaq Tuesday under the ticker symbol "GRAL." Illumina will continue to trade on Nasdaq under the ticker symbol "ILMN."
Implementing a plan approved by the company’s board of directors earlier in June, Illumina spun off Grail through the distribution of 85.5% of the outstanding shares of to holders of Illumina common stock at 12:01 a.m. Eastern Standard Time on Monday, June 24. Additionally, the shareholders received one share of Grail common stock for every six shares of Illumina stock held at the close of business on June 13, 2024. Illumina retained 14.5% of the outstanding shares of Grail common stock.
Fractional shares of Grail common stock are being aggregated and sold on the open market. The net cash proceeds from the sale are to be distributed pro rata to Illumina shareholders who would otherwise have received a fractional share of Grail common stock.
On June 17, Illumina entered into a 364-day delayed draw credit agreement for a senior unsecured term loan credit facility in an aggregate principal amount of up to $750 million. The credit facility was drawn in full on June 20; along with cash from Illumina's balance sheet, the proceeds were used to fund the divestiture of Grail.
In addition, Illumina has also announced it will issue results and host its earnings call for the second quarter of 2024 following the close of market on Tuesday, August 6.
