Prime Highlights-
- GE HealthCare to acquire SOFIE Biosciences for $945 million cash, building a final mile footprint in U.S. PET radiopharmaceutical supply.
- Deal hands GE HealthCare U.S. rights to FAPI-74, a Phase III PET radiotracer with pan-cancer potential, aiming for early launch.
Key Facts-
- SOFIE operates 15 CMO sites with 21 cyclotrons across the U.S., plus a theranostics-focused CDMO site.
- Deal set to lift revenue growth, adjusted EBIT margin and adjusted EPS in the first full year.
Background-
GE HealthCare will buy SOFIE Biosciences, a major U.S. maker of PET radiopharmaceuticals on contract, from private equity firm Trilantic North America for $945 million in cash.
The purchase puts the medical technology company into the last leg of the U.S. PET supply chain, where products must reach hospitals quickly. SOFIE will become part of the Pharmaceutical Diagnostics (PDx) segment once regulators and other closing conditions clear.
SOFIE operates 15 manufacturing sites with 21 cyclotrons across America, along with a theranostics-focused development and manufacturing facility. The deal also gives GE HealthCare U.S. rights to FAPI-74, a Phase III PET tracer that targets imaging of many cancer types. The company already owns rights to the tracer in other markets.
Kevin O’Neill, President and CEO of the PDx segment, said demand for PET products is rising fast as new tracers and targeted therapies arrive. He expects SOFIE to grow at a low double-digit rate and said GE HealthCare will tap its manufacturing strength in the U.S., Europe and Japan to improve patient access and supply reliability.
SOFIE will keep serving its current customers as an independent partner, including products from other radiopharmaceutical firms. PDx will continue working with its other manufacturing partners. SOFIE CEO Patrick Phelps said rising demand for F18 products makes this a strong step for the business.
GE HealthCare expects the transaction to boost revenue growth, adjusted EBIT margin and adjusted earnings per share within the first full year of ownership.
