- GE HealthCare to acquire 50% stake from Sumitomo Chemical to
assume full ownership of NMP, subject to regulatory approvals
- As part of GE HealthCare, NMP, already a leading
radiopharmaceutical company in Japan, will enhance patient access
to next-generation radiopharmaceuticals that enable detection and
diagnosis of disease
- Acquisition positions NMP to become partner of choice for
global innovators looking to bring novel radiopharmaceuticals to
Japan and other Asian markets
- Transaction bolsters GE HealthCare’s Pharmaceutical Diagnostics
segment and demonstrates its commitment to shaping the future of
Molecular Imaging
GE HealthCare (Nasdaq: GEHC) has agreed to acquire full
ownership of Nihon Medi-Physics Co., Ltd (NMP), by purchasing from
Sumitomo Chemical (TYO: 4005) the 50% stake it does not already
own. As part of GE HealthCare, NMP can build on its expertise
developing and manufacturing proprietary and in-licensed
radiopharmaceuticals used in single photon emission computed
tomography (SPECT) and positron emission tomography (PET) molecular
imaging procedures to detect and diagnose disease. Sumitomo and GE
HealthCare expect the agreement to close in early 2025, subject to
regulatory approvals.
This press release features multimedia. View
the full release here:
https://www.businesswire.com/news/home/20241201060498/en/
Nihon Medi-Physics headquarters and woman
looking at molecular imaging images (Photo: Business Wire)
NMP’s product portfolio includes GE HealthCare
radiopharmaceuticals used to enable clinical images across
neurology, cardiology and oncology procedures, such as its amyloid
visualization radiotracer, VIZAMYL® Injection (Flutemetamol (18F)
Injection), used in the Alzheimer’s pathway; DaTSCAN® Injection
(Ioflupane (¹²³I) injection) used to evaluate patients with
suspected Parkinson’s Disease or Dementia with Lewy Bodies; and
MYOVIEW® (Technetium (99mTc) Tetrofosmin), used in SPECT myocardial
perfusion imaging for the evaluation of known or suspected coronary
artery disease. NMP, headquartered in Tokyo, was formed in 1973 and
generated revenues of 28.2B JPY (~$183M) in 2023. In addition to 13
manufacturing facilities, NMP also focuses on research and
development, including nonclinical and clinical development of
radiotracers and theranostics research. GE HealthCare has held its
50% stake in NMP since acquiring Amersham plc in 2004 and holds
three positions on its Board of Directors.
Kevin O’Neill, President & CEO of the Pharmaceutical
Diagnostics (PDx) segment of GE HealthCare, said: “As the third
largest pharmaceutical market in the world1, and amongst the
leading countries by number of cyclotrons2, Japan is on a path to
becoming a leader in the $7 billion molecular imaging global market
and a center of excellence for Asian markets. NMP will play a key
role in that journey, including bringing its deep expertise and
scale to global innovators looking to bring novel products to the
Japan market and beyond. This will strengthen our precision care
strategy in Asia and our existing footprint in Japan, where our
contrast media and medical devices are used every day to enable
imaging procedures across the country.”
Hiroshi Ueda, Executive Vise President, Sumitomo Chemical, said:
“We are proud of our 50-year relationship with NMP and our
partnership with GE HealthCare to ensure patients in Japan could
benefit from access to molecular imaging. At a time of exciting
developments in the industry, following its discussions with
Sumitomo Chemical, we believe GE HealthCare is the best owner to
enable NMP to continue its successful growth journey. I would like
to recognize NMP’s leadership and talented team for their
significant achievements to date and their commitment to
patients.”
As a leading global medical technology and pharmaceutical
diagnostics innovator, GE HealthCare provides both molecular
imaging equipment and proprietary radiotracers used across major
patient care areas. The recent U.S. FDA approval of GE HealthCare’s
first-of-its-kind PET radiopharmaceutical, Flyrcado™ (flurpiridaz F
18 injection), its in-licensing of Phase II FAPI assets and
broadening theranostics offerings are all examples of the company’s
commitment to novel diagnostics that are shaping the future of
molecular imaging to drive improved patient outcomes. GE
HealthCare’s PDx segment is a global leader in imaging agents used
to support over 120 million patient procedures per year globally,
equivalent to four patient procedures every second.
The Company expects this transaction to be neutral to Adjusted
EPS3,4 in year one and accretive thereafter.
GE HealthCare was advised by Solomon Partners Securities,
LLC.
Forward-Looking Statements
This release contains forward-looking statements. These
forward-looking statements might be identified by words, and
variations of words, such as “will,” “expect,” “may,” “would,”
“could,” “plan,” “believe,” “anticipate,” “intend,” “estimate,”
“potential,” “position,” “forecast,” “target,” “guidance,”
“outlook,” and similar expressions. These forward-looking
statements may include, but are not limited to, statements about
the transaction, the completion and expected results of the
transaction, and GE HealthCare Technologies Inc.’s (the
“Company’s”) performance, growth opportunities, and strategy. These
forward-looking statements involve risks and uncertainties, many of
which are beyond the control of the Company. Factors that could
cause the Company’s actual results to differ materially from those
described in its forward-looking statements include, but are not
limited to, the conditions to the completion of the transaction may
not be satisfied; closing of the transaction may not occur or may
be delayed; the Company may be unable to achieve the anticipated
benefits of the transaction; operating costs and business
disruptions (including, without limitation, difficulties in
maintaining relationships with employees, customers, and suppliers)
may be greater than expected; the Company may assume unexpected
risks and liabilities; and completing the transaction may distract
the Company’s management from other important matters. Other
factors that may cause such a difference also include those
discussed in the "Risk Factors" section of the Company’s Annual
Report on Form 10-K filed with the U.S. Securities and Exchange
Commission and any updates or amendments it makes in future
filings. There may be other factors not presently known to the
Company or which it currently considers to be immaterial that could
cause the Company’s actual results to differ materially from those
projected in any forward-looking statements the Company makes. The
Company does not undertake any obligation to update or revise its
forward-looking statements except as required by applicable law or
regulation.
About GE HealthCare Technologies Inc.
GE HealthCare is a leading global medical technology,
pharmaceutical diagnostics, and digital solutions innovator,
dedicated to providing integrated solutions, services, and data
analytics to make hospitals more efficient, clinicians more
effective, therapies more precise, and patients healthier and
happier. Serving patients and providers for more than 125 years, GE
HealthCare is advancing personalized, connected, and compassionate
care, while simplifying the patient’s journey across the care
pathway. Together our Imaging, Advanced Visualization Solutions,
Patient Care Solutions, and Pharmaceutical Diagnostics businesses
help improve patient care from diagnosis, to therapy, to
monitoring. We are a $19.6 billion business with approximately
51,000 colleagues working to create a world where healthcare has no
limits.
Follow us on LinkedIn, X, Facebook, Instagram, and Insights for
the latest news, or visit our website https://www.gehealthcare.com
for more information.
1
https://www.trade.gov/country-commercial-guides/japan-pharmaceuticals,
accessed on October 29, 2024 2
https://nucleus.iaea.org/sites/accelerators/Pages/Cyclotron.aspx,
accessed on October 29, 2024 3 See our latest earnings release
dated October 30, 2024 for the definition of Adjusted EPS. 4
Non-GAAP financial measure
View source
version on businesswire.com: https://www.businesswire.com/news/home/20241201060498/en/
GE HealthCare Media Contact: David Morris M +44 7920
591370 david.j.morris@gehealthcare.com
Mathilde Bouscaillou M +33 647 008271
mathilde.bouscaillou@gehealthcare.com
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