Flat-panel display component manufacturer Orbotech of Yavne, Israel, said that it has signed a definitive agreement to acquire 3D - Danish Diagnostic Development (“DDD”), a privately-held Danish company that develops and manufactures gamma cameras for nuclear medicine. DDD is an original equipment manufacturer (OEM) of cardiac gamma cameras, which it markets primarily in the U.S. through industry suppliers that distribute them under their own brands.
Orbotech will pay approximately $39 million (U.S.) to the stockholders of DDD for the acquisition of all of the outstanding shares of DDD. In addition, Orbotech will pay to the DDD shareholders an earn-out, capped at approximately $6.5 million, based on DDD’s performance during the years 2007 and 2008. The acquisition will be financed from internally-generated funds, Orbotech said.
The transaction is expected to close today. Following completion, DDD will form part of Orbotech’s medical imaging operations.