Hologic Buys R2 Technology
BEDFORD, Mass., July 13, 2006 -- Hologic Inc., a Bedford, Mass., provider of diagnostic imaging and digital imaging systems used primarily in women's health care, announced today it has completed the acquisition of computer-aided detection (CAD) technology company R2 Technology Inc. for approximately $220 million payable in approximately 4,630,300 shares of common stock.
R2 Technology, located in Sunnyvale, Calif., provides CAD technology that assists radiologists in the early detection of breast cancer. It pioneered the use of CAD for mammography in 1998, when its ImageChecker system became the first CAD system approved by the FDA for screening mammography. The ImageChecker CAD system was also the first system approved for use with digital mammography.
"This acquisition marks an important step forward in our strategy and efforts to grow our mammography business segment and expand our market share in women’s health," said Jack Cumming, chairman and CEO of Hologic. "Our relationship with R2 is about working together, as respected industry leaders, in innovative ways to assist physicians in the early detection of breast cancer and lung disease. Combined, our customers have our assurance we will put our full resources behind development of new leading-edge technologies to improve the spectrum of detection capabilities."
Hologic's core business units are focused on osteoporosis assessment, mammography and breast biopsy, direct-to-digital x-ray for general radiography applications and mini C-arm imaging for orthopedic applications.
Under the agreement signed on April 24, 2006, the actual number of shares of common stock that Hologic will issue in the transaction will be subject to reduction to reflect certain tax withholding obligations. Approximately 10 percent of the shares to be issued will be held in escrow and subject to forfeiture to satisfy R2 stockholder indemnification obligations, if any, Hologic said.
For more information, visit: www.hologic.com
- The study of radioactive substances and high-energy radiations such as x-rays and g-rays.
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