Varex Imaging

Medical Imaging · X-Ray Technology · M&A

Acquisition

Teledyne to acquire Varex Imaging for $1.1 billion in cash

Shareholders get a 52% premium to the stock's recent close, a sign the market had undervalued this niche X-ray supplier.

• Teledyne Technologies agreed to acquire all outstanding shares of Varex Imaging for $18.90 per share in an all-cash deal valued at approximately $1.1 billion, including equity awards and net debt.
• Varex makes X-ray tubes, digital and photon-counting detectors, and high-voltage interconnects used in medical diagnostic imaging, security screening, and industrial inspection.
• The $18.90 per-share price represents a 52.3% premium over Varex's last closing price before the announcement.
• The deal, expected to close in early 2027 pending shareholder and regulatory approval, carries no financing condition since Teledyne plans to fund it through its existing credit facility.
• Teledyne built its medical imaging footprint through earlier deals, acquiring Teledyne DALSA in 2011 for CMOS X-ray detectors and Teledyne e2v in 2017 for radiotherapy magnetrons.
• Teledyne is paying roughly 9.25 times Varex's EBITDA for a company whose stock market cap sat near $522 million just before the deal was announced.
• The acquisition consolidates X-ray imaging supply chains, giving Teledyne combined control over both detectors and X-ray sources for medical, security, and industrial customers.