Franz Humer has told Roche he will not stand for re-election as Chairman of the company’s board of directors next year.

The 67-year-old announced his decision at Roche’s annual general meeting that he intends to end his 28-year association with the Swiss-based company when his term ends in 2014.

He said that Roche is in “excellent shape and well positioned to meet future challenges” and now is a “good time to hand over to a successor”.

Roche will now nominate Humer’s replacement this autumn. The Board has said the new chair will also serve as Non-Executive Chairman, continuing the separation of the offices of chair and CEO.

Humer joined the company in 1995 as Head of the Pharmaceuticals Division and a member of the Board of Directors. Prior to that, he worked as the UK general manager for Schering Plough Corporation and in similar high ranking positions for Glaxo. He became Roche Chairman in 2001, after being appointed CEO two years earlier.

“I am looking forward to the next 12 months, and I intend to perform my duties as Chairman with enthusiasm and drive,” he added.

Humer is the third high-profile chair to confirm his departure this year. Dr Daniel Vasella called time on his association with Novartis back in January, followed by Mats Pettersson’s announcement last month that he was departing Lundbeck.

Illumina has ‘unanimously rejected’ Roche’s improved takeover bid claiming the pharmaceutical giant’s offer still undervalues the company.

Roche had tabled an improved offer to acquire the San-Diego based company for $51 per share after its initial bid of $44 per share was dismissed.

In a letter to Roche Chairman Franz Humer, Illumina CEO Jay Flatley said the revised offer still “dramatically undervalues” the company and the “opportunistic offer” does not reflect the “intrinsic strength or future prospects” of Illumina.

Shareholders have now been urged not to tender any shares and support the company’s directors at its Annual Meeting on 18 April against Roche’s additional proposals.

The board of directors, plus financial and legal advisors, met on 31 March and on 2 April to review Roche’s latest offer. They decided that the bid did not “adequately reflect” Illumina’s singular position in an “industry poised for extraordinary growth”.

Jay Flatley, in his letter, noted that Roche had previously claimed that the company has “strong revenue generation, strong profit generation, strong cash generation and a very good track record of delivering continual upgrades in technology to the marketplace”.

He added that the company was in acceptance of this and the board of directors remains confident in the ability of its management team to continue executing these attributes.

“We are committed to acting in the best interests of all our stockholders and believe that Illumina’s strategic plan, executed independently, will create stockholder value significantly greater than what you (Roche) have proposed,” he said.

Illumina is a leading developer, manufacturer and marketer of life science tools and integrated systems for the analysis of genetic variation and function. Roche has been searching to increase its development of target therapies for cancer treatments and Illumina’s gene sequencing technology would help the Swiss-based company progress in this field.

Roche has increased its offer for Illumina by $1bn after holding discussions with the company’s major shareholders.

Days after extending its original $5.7bn cash offer, Roche has increased its price per share from $44.50 to $51 after seeing Illumina refusing to change its dismissive stance.

Franz Humer, Roche Chairman, said in a letter to Illumina CEO Jay Flatley that “we have had a number of productive discussions with Illumina’s shareholders and we have observed the market reaction to our offer”.

The San-Diego-based company has now told shareholders not to take any action on the revised offer insisting it will “thoroughly review” the new proposal.

The pharmaceutical giant has been searching to increase its development of target therapies for cancer treatments. Illumina’s gene sequencing technology would help the Swiss-based company progress in this field.

It has already made two unsuccessful hostile takeover bids for the company but analysts predict its latest offer could see a deal completed in as little as two months.

“It was certainly triggered by discussions with the biggest shareholders,” said Martin Voegtli, analyst at Capital Markets. “The top seven hold 55 percent, so $51 is probably the consensus amongst them. Now the pressure on the Illumina board and management is increasing and that’s a big step towards speeding up this deal.”

The seven biggest shareholders in Illumina are Capital Research Global Investors, Baillie Gifford & Co, Sands Capital Management, Morgan Stanley Investment Management, Jennison Associates, AllianceBernstein and Edgewood Management.

The latest offer includes the same deadline of 20 April for a decision – two days after the Illumina AGM, where Roche aims to gain control of its board of directors.