Dive Brief:
- GE Healthcare will acquire Nihon Medi-Physics (NMP), a Tokyo-based radiopharmaceutical firm, by buying the remaining 50% stake from parent Sumitomo Chemical, the companies said on Monday. They did not disclose the terms of the deal.
- NMP makes radiopharmaceuticals used in imaging for neurology, cardiology and oncology procedures. Kevin O’Neill, CEO of GE Healthcare’s pharmaceutical diagnostics segment, expects the purchase to strengthen the company’s precision care strategy and presence in Japan, which it identified as a leader in the $7 billion global imaging market.
- GE Healthcare CEO Peter Arduini in an October investor call listed radiopharmaceuticals, along with new products and artificial intelligence, as three “levers” that are going to help the company grow over the next three years, particularly in markets where precision medicine is being adopted at a faster rate.
Dive Insight:
GE Healthcare first acquired a 50% stake in NMP when former parent GE bought medical imaging firm Amersham in 2004 for $9.5 billion. GE Healthcare currently holds three seats on NMP’s board of directors.
NMP’s products include Vizamyl, an imaging agent used for detecting amyloid plaques in people with suspected Alzheimer’s disease; DaTscan, an injectable drug to evaluate patients with suspected Parkinson’s disease or dementia; and Myoview, an agent used in myocardial perfusion imaging to evaluate heart disease.
As part of GE Healthcare, NMP can build on its expertise developing and manufacturing proprietary and licensed radiopharmaceuticals, the companies said in the announcement. NMP has 13 manufacturing facilities and conducts research and development.
In 2023, NMP had revenues of 28.2 billion Japanese yen (about $183 million).
The acquisition is expected to close in early 2025, subject to regulatory approvals. GE Healthcare expects the deal to be neutral to its adjusted earnings per share in the first year and to be accretive in the future.
