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Illumina investors voted chairman John Thompson off the board of directors on Thursday as Carl Icahn's monthslong battle against the $32 billion gene-sequencing equipment maker crossed the finish line at the company's annual meeting.

Why it matters: Icahn's proxy fight has pushed a seasoned business leader off the board of a company seeking to improve cancer care and detection options, and elected a financier lacking relevant sector experience, Axios' Michael Flaherty writes.

Driving the news: Preliminary votes show that shareholders elected 8 of 9 Illumina nominees. Icahn nominee Andrew Teno received a majority of the votes to replace John Thompson on the board. Thompson will step down from the board and his role as chairman.

Thompson is the former chairman of Microsoft and a current director on the company's board. He's also the former CEO of Symantec.

Early results show Illumina CEO Francis deSouza and director Robert Epstein defeated Icahn's two other nominees and will remain on the board.

Be smart: Knocking out the current chair is a big win, but Icahn did not get all he wanted. He nominated three seats and has received one, per preliminary results.

Illumina gave a nod to Teno in its release on Thursday.

"We would like to welcome Andrew Teno, a portfolio manager at Icahn Capital LP, to the Board and look forward to productive and collaborative engagement," Illumina said.

Catch up quick: Icahn, who owns 1.4% of Illumina, has been pushing the company to unwind its acquisition of cancer detection test maker Grail.

Illumina's market value has dropped by more than 50% since closing the Grail deal. Antitrust regulators in the U.S. and Europe have opposed the acquisition, citing competition concerns.

Icahn wants the company to focus on its core DNA sequencing business.

Details: Icahn nominated three of his employees to serve as Illumina directors. The company previously offered to add one to the nine-member board, but Icahn turned down the offer early in the spring.

So, after months of money and energy spent on the fight, Icahn failed to gain more than the original seat that was offered.

What we're watching: Whether Teno gains influence on the board and whether he and his boss' thesis of unwinding the Grail deal ends up being a reality.

1. Illumina shareholders vote chairman out after Icahn fight

Photo illustration of Carl Icahn and Francis de Souza and John Thompson of Illumina surrounded by rectangles  

(Left to right) Carl Icahn, Francis deSouza and John Thompson. Photo illustration: Tiffany Herring/Axios; Photos: Bloomberg/Getty Images

Women's health startup FemTec Health is out of money and winding down operations, per a letter sent to shareholders and viewed by Erin Monday.

Why it matters: The wind-down is a culmination of troubles plaguing FemTec, once envisioned as the launchpad for a one-stop women's health shop.

Plus: Monday's Pro Rata, on the repercussions of the rejected JetBlue-American Airlines partnership.

2. FemTec Health comes to an end

Illustration: Shoshana Gordon/Axios. Logo: Femtec Health

GHO Capital and Partners Group invested in pharma services company Sterling Pharma Solutions at a valuation of just under £500 million, says a source familiar with the deal.

Why it matters: It's the latest example of private equity firms partnering to deploy capital — a phenomenon expected to persist as long as financing is tight, Aaron wrote Thursday.

Plus: Thursday's Pro Rata, on First Citizens Bancshares laying off nearly 500 Silicon Valley Bank employees.

 3. Deal values Sterling Pharma near £500

Illustration of a pill, half of which is dollar bills

Patient intake and tracking startup Florence is acquiring asynchronous telehealth company Zipnosis from Bright Health (BHG: NYSE) in an all-cash deal, CEO Aniq Rahman told Axios' Claire Rychlewski exclusively Wednesday.

Why it matters: Corporate divestitures continue to provide fruitful acquisition opportunities for strategic buyers in a strained deal market.

Plus: Wednesday's Pro Rata, chronicling one of the SPAC market's bigger busts.

4. Florence acquires Zipnosis from Bright Health

Illustration of a hundred dollar bill puzzle with pieces missing out of the center in the shape of a red cross

Provider upskilling startup Mate Fertility secured $5.2 million in Series A funds, the company told Erin exclusively Tuesday. 

Why it matters: The company trains OB-GYNs in so-called fertility deserts to provide fertility services typically performed only by specialists known as reproductive endocrinologists (REIs).

Plus: Tuesday's Pro Rata, on Shutterstock agreeing to buy Giphy from Meta.

5. Mate Fertility closes $5M Series A

Illustration of a baby onesie printed with the image of a $100 bill.

🇺🇸 Programming note: Health Tech will not publish on Monday in observance of Memorial Day. We wish you all a safe holiday weekend.

That's all for today. Catch you next week!

✅ Thanks for reading, and thanks to newsletter editor Claire Rychlewski and copy editor Mickey Meece. Please ask your colleagues, friends and family to sign up.

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May 26, 2023

1. Illumina shareholders vote chairman out after Icahn fight