General Electric and Amersham, a UK-based diagnostic imaging and life sciences company, have today entered into an agreement whereby GE will acquire all the outstanding shares of Amersham, subject to regulatory approval.
The terms of the transaction value each Amersham share at 800 pence and the diluted share capital of Amersham at approximately £5.7 billion ($9.5 billion).
‘GE and Amersham will be an exciting combination of talents, businesses and technologies. Amersham’s diagnostic pharmaceutical and life sciences business will add new, high growth platforms to GE Medical’s diagnostic imaging, services and healthcare information technology businesses,’ said Jeffrey R. Immelt, Chairman of the Board and Chief Executive of General Electric.
‘The combination of this technological and market knowledge will allow GE to accelerate the development of molecular imaging and personalised medicine where it will be possible to predict and treat disease with therapies tailored to the individual,’ added Immelt.
Upon completion of the acquisition, Sir William Castell will become a Vice Chairman and member of the Board of Directors of General Electric and, as CEO of GE Healthcare Technologies, will have financial and leadership responsibility for GE Healthcare Technologies, the combined Amersham and GE Medical businesses.
Joseph Hogan, Senior Vice President of General Electric, will continue to lead the GE Medical business. The GE Healthcare Technologies business will be based with Sir William Castell in the UK.
General Electric’s management believes the acquisition will create a group of technology and service driven healthcare businesses that will have combined 2003 pro forma revenues in excess of $13 billion.