Varian Medical (NYSE:VAR) said today that it agreed to acquire Germany’s MeVis Medical Solutions for about $37.3 million (€30 million), or roughly $21.77 per share (€17.50).
Bremen-based MeVis makes software designed to analyze and process image data for screening breast cancer as well as lung, liver, prostate, and colon cancer, according to a press release. The deal would include the MeVisLab platform, an R&D tool designed to rapidly prototype tailored software solutions, Varian said.
"Varian is excited to add cancer screening software to its portfolio of imaging components solutions for diagnostic imaging manufacturers," CEO Dow Wilson said in prepared remarks. "Early detection and treatment of tumors can have a significant impact on outcomes for cancer treatment and we are looking forward to the prospect of adding advanced software for early cancer detection to our product portfolio."
"We believe we can integrate MeVis technology to offer our customers smarter flat-panel detectors and imaging workstations for cancer screening," added Varian Imaging Components president Sunny Sanyal. "This would enable us to help equipment manufacturers get new life-saving diagnostic products to market faster.”
Varian said it plans to have the MeVis team continue to develop applications in Bremen as a segment of the imaging components business. The deal, which represents a roughly 16% premium over MeVis’ 6-month average share price, calls for at least 75% of the German company’s shares to be tendered. More than 70% have already been committed, according to the release.
The transaction is expected to close in April 2015, Varian said.
