Genoptix Inc., a clinical oncology laboratory specializing in hematology and solid tumors, plans to acquire Rosetta Genomics Ltd. for a gross purchase price of $10 million in cash.

After deducting certain items, the deal values each ordinary share of Rosetta Genomics outstanding at closing at 60 cents.

Genoptix is also providing a secured bridge loan facility of up to $1.8 million to fund the operations of Rosetta through the closing of the deal.

The merger has been approved by the boards of both companies, and the closing is expected to occur during the first quarter of 2018, subject to approval by Rosetta's shareholders and customary closing conditions.

Upon closing, trading in shares of Rosetta on the Nasdaq Capital Market will cease, and Rosetta Genomics will become a unit of Genoptix.

Cantor Fitzgerald is serving as financial adviser to Rosetta for the deal.