Labcorp to Acquire BioReference Health Clinical, Women's Health and Urology Testing Assets From OPKO for $722 Million

Labcorp and OPKO Health announced on October 15, 2026 that Labcorp has agreed to acquire select assets of BioReference Health, LLC, OPKO's wholly owned laboratory subsidiary, for $722 million in cash at closing, with the price subject to adjustment based on closing business revenues, plus up to an additional $150 million tied to future revenue from BioReference's 4Kscore prostate cancer test, according to a joint press release from the two companies.

Deal Terms and Potential Value

The $722 million cash component and the $150 million 4Kscore earnout together put the transaction's maximum potential value at $872 million, as reported by Medical Device Developments. Using the figures disclosed by the companies, our calculation shows the cash payment exceeds the earnout by $572 million ($722 million minus $150 million), or roughly 381% more than the contingent payment ((722 − 150) / 150 × 100). As an interpretation of that arithmetic, the upfront cash represents the bulk of the deal's value, with the earnout functioning as a smaller, performance-linked add-on; it is a comparison of the two disclosed amounts, not a forecast of what will ultimately be paid.

Neither company's release specified the revenue thresholds or measurement period required to trigger the full $150 million 4Kscore earnout, nor did they disclose how the base $722 million price might be adjusted up or down based on BioReference's revenue at the time of closing.

What Labcorp Is Acquiring

Labcorp will acquire BioReference's laboratory testing businesses focused on clinical and women's health testing services, urology, and diagnostic services provided to correctional institutions, along with certain operational assets including more than 80 additional patient service centers, per the joint announcement. Also included is BioReference's proprietary 4Kscore Test, an FDA-approved blood test that helps predict the likelihood of finding aggressive prostate cancer before a biopsy decision. According to Medical Device Developments, the 4Kscore test secured FDA approval in 2021 after being available as a laboratory-developed test since 2014, and it assesses the probability of finding aggressive prostate cancer in men 45 or older with an age-stratified elevated PSA or a positive nodule on a digital rectal examination.

The same outlet reported that OPKO's diagnostics segment generated $74.5 million in revenue in the second quarter, of which the 4Kscore test contributed $6.3 million, though the companies' releases did not break out what share of OPKO's overall diagnostics revenue or earnings the divested BioReference businesses represent, or what remains at OPKO after the deal closes.

Rationale From Both Sides

OPKO Chairman and CEO Phillip Frost framed the sale as a step toward concentrating on drug development, saying, "This transaction will allow OPKO to streamline operations and focus our resources on our biopharmaceutical business," according to the joint release. The statement did not specify how OPKO intends to deploy the cash proceeds, such as through debt reduction, pipeline funding or share repurchases.

On Labcorp's side, Bryan Vaughn, Executive Vice President and President of Diagnostics at Labcorp, said the acquisition "strengthens our ability to deliver affordable, high-quality, specialized diagnostic services to more patients and providers around the country," according to a PR Newswire version of the announcement. Labcorp expects the acquired business to generate approximately $250 million in revenue in the first year after close, based on its current post-closing forecasts, the companies said.

Closing Timeline and Advisors

The transaction is subject to regulatory approvals and customary closing conditions. The companies said there will be no changes to operations or services and that both will continue to operate independently until closing; neither release specified an expected closing date. According to the joint release, Lazard is serving as Labcorp's financial advisor, with Hogan Lovells Cadwalader US LLP as lead transaction counsel and Parker Poe as real estate counsel. Piper Sandler & Co. is serving as OPKO's exclusive financial advisor, with Greenberg Traurig P.A. as legal counsel.

Analyst Reaction

According to Yahoo Finance, Evercore ISI analysts said the deal fits Labcorp's strategy of expanding in higher-growth specialty testing, writing that "women's health strengthens the specialty offering, while 4Kscore adds a differentiated asset with an opportunity for broader distribution rather than simply more routine testing volume." William Blair analysts, cited in the same report, called the 4Kscore test a "particularly compelling asset" with opportunity for broader adoption, saying it could help identify patients for further evaluation and avoid unnecessary biopsies. These are the analysts' own characterizations and not independently verified projections.

Bottom Line

The agreement adds a defined set of clinical, women's health, urology and corrections testing operations plus the 4Kscore prostate test to Labcorp's network, with Labcorp projecting roughly $250 million in first-year revenue from the assets. The companies have not disclosed a closing date, the specific 4Kscore earnout thresholds, or how OPKO plans to use the proceeds, and both releases caution that timing, final purchase price and earnout outcomes remain subject to regulatory approval and other conditions outside either company's control.