Philips completes acquisition of MRI scanner maker

Philips has announced it has completed the acquisition of Intermagnetics, which manufactures parts and accessories for MRI scanners.

The Dutch-based company claims that the $1.3 billion (703 million pounds) purchase will strengthen its foothold in the imaging market, as well as being able to provide MRI-compatible patient monitoring devices.

Some 1,150 Intermagnetics employees have now been incorporated into Philips’ medical division, while its New York headquarters have now become central to Philips’ MRI business.

Juoko Karvinen, chief executive of Philips Medical Systems, said in June that the acquisition would position the company well for the future.

He said: “In the short term, we expect to gain equipment market share and to grow the installed base by expanding our product offerings with an accelerated innovation rate and a lower cost supply chain.”

The cost of the incorporation of Intermagnetics was estimated to be in the region of 58 million pounds, thanks to certain complexities and research expenses.

Mr Karvinen concluded that MRI technology would become important in molecular imaging in the future.