A Cambridge-headquartered company developing technology for breast cancer surgery is set to be acquired in a deal worth almost £250 million.
Hologic Inc, a global leader in women’s health listed on the US Nasdaq exchange, has signed an agreement to buy Endomagnetics Ltd.
Endomag develops and sells breast surgery localisation and lymphatic tracing technologies. Its products include the Magseed marker for magnetic tissue localisation before surgery, the Magtrace lymphatic tracing injectable for breast cancer staging and the Sentimag platform, which supports both localisation and lymphatic tracing.
“We are delighted to attract the strength and focus of Hologic to power the next phase of our growth,” said Eric Mayes, CEO of Endomag. “Our team is encouraged by our cultural alignment and the potential to strengthen a broader portfolio of solutions to improve women’s health globally.”
Endomag generated approximately $35m of revenue in 2023. The acquisition is expected to be slightly dilutive in 2024, break even in 2025 and accretive thereafter.
Completion of the acquisition is subject to customary closing conditions, including regulatory approvals.
Hologic’s technologies include invention of the world’s first commercial 3D mammography system to find breast cancer earlier; leadership in testing for cervical cancer, sexually transmitted infections and respiratory illnesses; and minimally invasive surgical technologies for uterine fibroids and abnormal uterine bleeding.
The company also champions women through the Hologic Global Women’s Health Index, which provides a science-backed data framework for improving women’s well-being.
“Endomag’s suite of solutions complements our existing breast surgery portfolio and will provide surgeons and radiologists with an expanded range of options to meet the individual needs of more patients undergoing critical breast cancer procedures,” said Erik Anderson, president of breast and skeletal health solutions at Hologic.
“With a global footprint and a similar commitment to women’s health, we are excited about the potential of welcoming the Endomag team and our future opportunities together to increase access to these technologies and better serve patients across the breast health continuum of care.”
London-listed Molten Ventures – formerly Draper Esprit – first invested in Endomag in July 2018, with investment from its balance sheet and from its EIS and VCT funds. Follow-on funding was provided to support Endomag’s continued growth in 2020.
The deal values Molten’s stake in Endomag modestly above its group holding value of £35m.