What happened
Shares of GenMark Diagnostics (GNMK) were soaring 34.8% higher as of 11:43 a.m. EST on Thursday. The big jump came after Bloomberg reported that the diagnostics company could be acquired.
So what
Bloomberg's report stated that GenMark has been contacted by multiple potential buyers. The company is said to have engaged a financial advisor to help it navigate acquisition discussions. GenMark hasn't made any public statements about the report at this point.
Investors shouldn't buy the healthcare stock solely because of the possibility that it might be acquired. These kinds of stories often fizzle out.
However, GenMark looks like a pretty good buyout target for a bigger diagnostics company. It wouldn't be surprising if Becton Dickinson, Thermo Fisher Scientific, or Roche is interested in acquiring GenMark.
Now what
It's now a waiting game to see if a deal emerges. And if there is a deal, the details will be important. An offer price might not be much more than GenMark's current share price after its big move today.