Roche 's $1.4 billion deal to buy Igen International Inc. [See Deal] left Igen shareholders gleeful to say the least and some Roche observers a bit wary of the high price tag and generous terms. But by ending protracted litigation between the two companies, the deal protects one of Roche Diagnostics ' core franchises, its centralized laboratory business.
The purchase also underscores Roche's willingness to pay dearly for coveted technology that will lead to leadership in an important...