GE invests in ultrasound therapy

No sooner did GE complete one investment than it made another, albeit smaller, one. GE Medical Systems has taken an equity stake in InSightec, a subsidiary of Elbit Medical Imaging. InSightec is developing an MRI-guided, high-intensity, focused ultrasound system as a possible replacement for some surgical procedures. Per the agreement, GEMS will invest $10 million in a combination of cash and equipment for 11.8% of InSightec's shares. GEMS will also convert its previous 5% holdings in InSightec into an additional 5% holding and receive warrants for the purchase of another 5% of InSightec shares for $3 million, exercisable for a period of three years.