Accuray to buy TomoTherapy for $277M
Accuray has agreed to buy TomoTherapy, a creator of radiation therapy solutions for cancer care, for $4.80 per share in cash and stock, or approximately $277 million. The combined company will have an installed base of more than 550 units in 32 countries and more than 1,100 employees. In addition, the combined revenue of the two companies in 2010 exceeded $400 million, according to a joint statement.
Accuray went public in 2007 and is a developer of laser cancer surgery treatment, the San Francisco Business Times notes. The companies serve complementary patient populations.
"This is an exciting opportunity for TomoTherapy to combine its best-in-class radiation therapy products with Accuray's gold-standard radiosurgery products to improve treatment for cancer patients worldwide," says Frederick Robertson, president and CEO of TomoTherapy.
In a statement, Accuray says it recognizes that Madison, WI, TomoTherapy's operating and corporate headquarters, is an important center for medical excellence and innovation, and it is committed to maintaining a strong presence in the area.
The transaction, which has been approved by the boards of directors of both companies, is expected to close in Q2 or the beginning of the Q3 of 2011. TomoTherapy stock jumped 26.70 percent to $4.65 in the pre-market trading, according to the International Business Times.
- get the joint Accuary/TomoTherapy release
- check out the San Francisco Business Times story
- see more from the International Business Times