Tempus AI acquires Personalis for $1.5 billion to expand cancer screening and MRD capabilities

Tempus AI Slides as Investors Weigh $1.5 Billion Personalis Acquisition - Personalis (NASDAQ:PSNL), Tempu

This acquisition, valued at $1.5 billion, is set to expand Tempus' reach in the MRD market. Tempus claims it presents a $20 billion opportunity. Key Deal Terms Strategic Rationale According to Eric Lefkofsky, CEO of Tempus, the acquisition will leverage Personalis' MRD technology with Tempus' AI and data platform to improve cancer patient monitoring and treatment. "Through our existing collaboration with Personalis, we have already demonstrated the strength of combining highly sensitive MRD technology with our commercial infrastructure. With clinical adoption and reimbursement momentum building, we are collectively well positioned to capture this opportunity, which makes this acquisition particularly exciting." Chris Hall, CEO of Personalis, expressed confidence in the deal, highlighting the combined capabilities and resources that will accelerate innovation and deliver value to patients and shareholders. The acquisition builds on an existing partnership between Tempus and Personalis, which began in November 2023. This collaboration had already demonstrated the efficacy of combining MRD technology with Tempus' infrastructure. Structure And Closing Tempus will primarily pay for the transaction with stock but may use cash for up to 50% of the consideration. The $16.25-per-share offer represents a 6% premium to Personalis' Friday closing price. It also carries a 28% premium to the unaffected 30-day volume-weighted average price. The acquisition is expected to close in late 2026 or early 2027. Tempus AI held $521.17 million in cash and cash equivalents as of March 31, 2026. Tempus AI Earnings Preview Tempus will report earnings on July 30, 2026. Analysts expect the company to post a loss of 20 cents per share, narrowing from 22 cents a year earlier. They forecast revenue of $380.24 million, up from $314.63 million. Analyst Consensus & Recent Actions: The stock carries a Buy rating with an average price forecast of $66.82. Recent analyst moves include: * Guggenheim: Buy (Raises Target to $65.00) (July 16) * Freedom Capital Markets: Initiated with Hold (Target $59.00) (July 1) * Needham: Buy (Maintains Target to $75.00) (June 1) TEM Price Action: Tempus AI shares were down 8.06% at $48.24 at the time of publication on Monday, according to Benzinga Pro data. This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Tempus AI to buy Personalis to strengthen its position in cancer screening

Personalis shareholders will receive $16.25 per share, mainly in Tempus stock, with the acquirer retaining the option to pay up to 50% of the transaction in cash. Markets greeted the announcement cautiously, with shares of both companies falling during the session. Several analysts said the reaction was due in part to the deal structure, which is largely funded with stock. The takeover builds on a partnership launched in 2023 between the two companies focused on developing NeXT Personal. Tempus believes the business is now mature enough to offer strong profitability potential. Closing is expected by the end of 2026 or in early 2027, bolstering the group's ambitions in artificial intelligence solutions applied to the fight against cancer.

Tempus to buy cancer test maker Personalis for $1.5 billion

July 20 (Reuters) - Tempus AI said on Monday it would buy Personalis in an all-stock deal valued at about $1.5 billion, adding a cancer test to the AI-enabled precision medicine firm's oncology portfolio. Personalis shares fell 5% in premarket trading, while Tempus shares fell 4%. Tempus will gain access to Personalis' NeXT Personal cancer test, designed to find microscopic traces of tumor DNA in a patient's blood to track treatment response and detect early recurrence. The acquisition expands on an existing partnership between the companies, under which Tempus invested in Personalis in November 2023 to develop the NeXT Personal test. The deal is expected to close in late 2026 or early 2027. (Reporting by Christy Santhosh in Bengaluru; Editing by Anil D'Silva and Sahal Muhammed)