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Hologic, Inc. HOLX announced that it has completed the previously announced acquisition of Gynesonics, Inc. — a privately held medical device company focused on developing minimally invasive solutions for women’s health. Hologic acquired Gynesonics for approximately $350 million.
The latest acquisition is aimed at strengthening Hologic’s GYN Surgical business segment.
Likely Trend of HOLX Stock Following the News
Following the announcement, shares of the company surged 0.8% to $73.77 yesterday.
The transformation of Hologic’s Surgical business over recent years has been phenomenal. The business is currently focusing on internal innovation and product line additions through value-added acquisitions. The company’s latest acquisition of Gynesonics strengthens its commitment to providing women with minimally invasive treatment.
The acquisition enhances the existing Surgical portfolio, offering GYN surgeons worldwide an expanded range of options to treat women suffering from heavy periods and fibroids. Accordingly, we expect the latest acquisition to bolster investor confidence and maintain an upward momentum in HOLX's share price in the upcoming days.
Hologic has a market capitalization of $16.26 billion at present. The company’s earnings yield of 5.85% compares favorably to the industry’s -4.10%. It delivered an average earnings surprise of 3.1% for the trailing four quarters.
More on Hologic’s Acquisition of Gynesonics
Gynesonics is the developer of Sonata System technology. The Sonata System is used for diagnostic intrauterine imaging and transcervical treatment of certain symptomatic uterine fibroids. The technology combines real-time intrauterine ultrasound guidance with targeted radiofrequency ablation in an incision-less procedure.
The acquisition will add Sonata System to Hologic’s Surgical portfolio. The Sonata System will complement and expand Hologic’s range of minimally invasive solutions for heavy periods and fibroids. The acquisition will further increase access to the Sonata System. The acquisition reflects Hologic’s commitment to advancing women's health and improving patient outcomes through cutting-edge technologies.
Hologic’s Previous Strategic Acquisition
Earlier in 2024, Hologic acquired Endomagnetics Limited — a UK-based developer of breast cancer surgery technologies — for approximately $310 million. This strategic move bolsters Hologic's breast surgery portfolio, offering surgeons and radiologists an expanded range of innovative solutions for breast cancer procedures. Per Hologic, the acquisition of Endomagnetics is a pivotal step for the company in enhancing its breast health portfolio with advanced technologies.