Varian Medical Systems Inc. is looking to grow again with the proposed acquisition of Zmed Inc. for $35.5 million.
The Ashland, Mass.-based company is a privately-held supplier of radiation oncology software and accessories for ultrasound-based, image-guided radiotherapy (IGRT), stereotactic radiation treatments, and image management.
Varian Medical Systems Chairman Richard Levy said the addition of Zmed would add 3D ultrasound imaging capabilities to Varian's image-guided radiotherapy products and make it "possible for Varian to offer radiation oncology departments a new line of stereotactic positioning accessories and planning software for treating patients with ultra-precise, hypofractionated radiotherapy or radiosurgery."
Zmed also would add annual revenues of $16 million to $18 million to Varian Medical Systems' coffers. The companies expect the deal to close some time in November.
Zmed's product line - which would join Varian's Oncology Systems' business -- includes servers and software for storing, accessing, transferring and reviewing patients' images through local networks and the Internet. Levy said the technology -- installed in more than 110 sites -- would be a boon for Varian Medical Systems' VARiS Vision software product.
Zmed has approximately 30 employees and would continue to operate from its Ashland location.