Konica Minolta Inc. said Thursday that it will partner with Innovation Network Corp. of Japan to buy the U.S. genetic testing firm Ambry Genetics Corp. for up to $1 billion.
Under the deal set to be closed in October, Konica Minolta will take a 60 percent stake in Ambry Genetics, with the INCJ, a state-backed investment fund, taking the rest.
Established in 1999, Ambry Genetics analyses genetic data to detect cancer and other diseases. The firm is based in Aliso Viejo, California
Konica Minolta, a maker of copiers, printers and precision equipment, hopes to expand its health care businesses as its core office equipment operations offer little room for growth.
Konica Minolta will buy the U.S. firm's shares from its founder and individual shareholders.
The deal values Ambry Genetics at $800 million, and the purchase price may increase by up to $200 million depending on its earnings performance over the next two fiscal years, Konica Minolta said.