Hologic Inc. last week announced it has completed the acquisition of R2 Technology Inc., a global leader in computer aided detection (CAD). The purchase price for the transaction was approximately $220 million in stock.
"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, Hologic. "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."
R2, located in Sunnyvale, Calif., pioneered the use of CAD for mammography in 1998 when the 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.
While R2 will be a part of Hologic’s women's imaging business, a company spokesperson said that plans are to build on R2’s existing brand equity and customer base and therefore R2 will retain its name and identity. With regard to leadership, R2’s President and CEO John Pavlidis has retired and Vilim Simcic, PhD, the company’s chief technical officer, also will now serve as general manager.
Also, according to the spokesperson, there are no plans to move R2 from its West Coast home. The integration of the companies is ongoing, and no decisions have been made about the structure of R2. No information about how the acquisition might specifically impact current employees was available at press time.