GE Healthcare to acquire radiopharma firm Sofie Biosciences for $945M
GE HealthCare has reached a definitive deal to buy radiopharmaceutical firm Sofie Biosciences for $945 million, the two announced Monday.
The Chicago-based imaging systems manufacturer will pay the purchase price in cash, acquiring the company from private equity firm Trilantic North America. Founded in 2008 and based in Dulles, Virginia, Sofie Biosciences runs a robust radiopharmaceutical production and distribution network. It also operates an established contract-manufacturing business and holds high-value theranostic intellectual properties.
GE HealthCare said the acquisition will help it establish a footprint in the time-critical “final mile” of PET radipharmaceutical distribution—where finished doses are transported to medical professionals. Adding Sofie’s assets also will allow GEHC to participate in other high growth radiopharma markets outside of its own product portfolio.
“Sofie Biosciences has a highly skilled team with deep expertise serving U.S. customers, including manufacturing our Flyrcado (flurpiridaz F18 injection) product,” Kevin O'Neill, MBA, president and CEO of GE HealthCare’s Pharmaceutical Diagnostics segment, said in a statement Oct. 5, referencing the firm’s PET radiotracer for detecting coronary artery disease. “We will leverage our scale and expertise in radiopharmaceutical manufacturing across the U.S., Europe and Japan to further invest in and grow Sofie Biosciences, helping improve patient access, strengthen reliability of supply, and support the next generation of precision care products."
O’Neill noted that the PET radiopharmaceutical market is expanding rapidly with the introduction of new tracers and advances in precision care. This includes the growing adoption of targeted therapies. As part of GE HealthCare, Sofie is expected to grow “in the low double digits,” enabling GE to participate “across the radiopharmaceutical value stream.” This will allow the company to meet customer demand through a mix of GE HealthCare-owned and partner facilities, O’Neill said.
The two sides hope to close the transaction by July 2027, subject to conditions including government approval. Once finalized, GEHC will add a network of 15 contract manufacturing sites operating 21 cyclotrons, used to produce short-lived radioactive isotopes. The buyer also will add a theranostics (therapy + diagnostics)-focused contract development and manufacturing site, with the combined assets allowing GEHC to broaden its footprint across the U.S. radiopharmaceutical sector. It additionally will allow the buyer to provide solutions at every step of the theranostics pathway, from cyclotrons to imaging technology, digital workflow tools and radiotherapeutics infrastructure.
PET radiopharmaceuticals are used in precision medicine and to visualize metabolic and molecular activity, GEHC noted. They also are increasingly deployed to deliver targeted therapies across a range of disease types. However, F18-labeled PET radiopharmaceuticals have a 110-minute half-life, with these PET contract manufacturing sites playing a “crucial” role in enabling timely and reliable access. Industrywide, the radiopharma pipeline continues to grow, now with about 20 PET radiotracers and 30-plus radiotherapeutics under development, GEHC estimated. The acquisition also will grant GE Healthcare U.S. rights to FAPI-74, a phase 3 pipeline PET radiotracer with potential across multiple cancer types.
After the transaction closes, Sofie Biosciences will continue operating as an independent manufacturing partner to its customers. The company expects to keep supplying its existing portfolio of products, including those that come from other leading radiopharma providers.
“As demand continues to increase for F18 products, and pipelines for new diagnostics and therapeutics continue to expand, joining GE HealthCare marks an exciting step in our journey as a leading U.S. [contract manufacturing organization],” Patrick Phelps, Sofie Biosciences co-founder, president & CEO, said in the announcement. “With Trilantic North America’s support, we have significantly expanded our capabilities and scale, and we share GE HealthCare’s ambition to improve patient outcomes by delivering on the promise of radiopharmaceuticals as we look ahead to our next phase of growth.”
GE HealthCare noted that its Pharmaceutical Diagnostics segment produced imaging agents used to support 140 million procedures last year. That’s equivalent to about four patient procedures every second. The company estimates that acquiring Sofie will be accretive to revenue growth, along with adjusted earnings, in the first full year of ownership.
The Financial Times first reported word of the forthcoming sale on Sept. 13, citing unidentified sources with knowledge of the deal. Trilantic, the former merchant banking division of the collapsed Lehman Brothers, reportedly acquired a nearly 26% stake in Sofie in 2024, valuing the business at up to $550 million back then, according to the report. The Financial Times noted that acquiring Sofie would help further strengthen GE HealthCare’s Pharmaceutical Diagnostics division, which notched $2.9 billion in revenue last year.
“GE HealthCare's legacy and global expertise make it a natural partner to support Sofie Biosciences’ continued growth and help expand access for U.S. patients to novel diagnostic and therapeutic radiopharmaceuticals,” added Ted Rosenwasser, a partner with New York-based Trilantic North America.
Marty Stempniak has covered healthcare since 2012, with his byline appearing in the American Hospital Association's member magazine, Modern Healthcare and McKnight's. Prior to that, he wrote about village government and local business for his hometown newspaper in Oak Park, Illinois. He won a Peter Lisagor and Gold EXCEL awards in 2017 for his coverage of the opioid epidemic.