Illumina Inc (NASDAQ:ILMN), a genetic testing company, accused European Union antitrust1B regulators of overreach in their decision to stop its $7.1 billion acquisition of cancer detection test company Grail.
In October, Illumina was ordered to sell Grail after closing its takeover of the cancer test maker before securing their approval.
The European Commission opted to utilize a protocol known as Article 22, which allows the body to review mergers that could reduce competition. In July, the Commission fined Illumina $460 million, equal to 10% of the company’s global revenue.
Illumina has challenged the Commission in the Court of Justice of the European Union (CJEU) after it lost a court challenge last year at a lower tribunal.
Regulators essentially accused Illumina of attempting to rewrite EU merger rules.
"Ilumina and Grail's arguments are... essentially a policy manifesto about what they think should be the jurisdictional limits of EU merger control," European Commission lawyer Nicholas Khan said.
"Illumina's arguments are simply a demand to rewrite the merger regulations."
Looking ahead, CJEU Advocate General Nicholas Emiliou will deliver a non-binding opinion on March 21. The Court will then rule in roughly six months.
Illumina has said it will divest Grail within a year if it loses its case.
Shares of Illumina traded 0.8% lower Tuesday morning at $116.66.