GE offers $8.13 billion for Abbott Diagnostics

Article

Rumors of a pending deal between GE Healthcare and Abbott Laboratories proved true yesterday with the announcement of GE’s offer to pay $8.13 billion for two of Abbott’s medical diagnostics divisions. If the deal goes through in the first half of 2007 as expected, GE will add in vitro and point-of-care diagnostics, including blood and urine tests, to its portfolio.

Rumors of a pending deal between GE Healthcare and Abbott Laboratories proved true yesterday with the announcement of GE's offer to pay $8.13 billion for two of Abbott's medical diagnostics divisions. If the deal goes through in the first half of 2007 as expected, GE will add in vitro and point-of-care diagnostics, including blood and urine tests, to its portfolio.

The purchase of an in vitro diagnostics company has long been in the cards for GE. Before playing that hand, however, GE wanted to buy an in vivo company, according to GE Healthcare president and CEO Joe Hogan, a requisite the company fulfilled with its $9.5 billion purchase of Amersham in 2004.

"My thought was to do the in vivo molecular diagnostic piece first, to obtain the chemistry and biological understanding and clinical trial expertise," he told Diagnostic Imaging Scan. "By doing that, I feel we can bring the in vitro in on top of a much better platform and have a better understanding of how all the pieces fit together."

The proposed acquisitions would complement GE Healthcare's life sciences and medical diagnostics business units, created in the wake of the company's purchase of Amersham. Life sciences focuses on technologies that help predict, diagnose, and treat diseases early. The medical diagnostics business concentrates on in vivo imaging agents.

GE's acquisition of Abbott's two diagnostics divisions would be the second such closing in 2007. On Jan. 1, Siemens Medical Solutions officially acquired the diagnostics division of Bayer for $1.9 billion. This deal was a follow-up to the company's acquisition of Diagnostic Products at midyear 2006.

For complete coverage of the latest event and an exclusive interview with GE Healthcare president Joe Hogan, please visit DI SCAN, a subscription-based online business publication with news and analysis of events in the global medical imaging industry.

Recent Videos
Improving Access to Nuclear Imaging: An Interview with SNMMI President Jean-Luc C. Urbain, MD, PhD
SNMMI: 18F-Piflufolastat PSMA PET/CT Offers High PPV for Local PCa Recurrence Regardless of PSA Level
SNMMI: NIH Researcher Discusses Potential of 18F-Fluciclovine for Multiple Myeloma Detection
SNMMI: What Tau PET Findings May Reveal About Modifiable Factors for Alzheimer’s Disease
Emerging Insights on the Use of FES PET for Women with Lobular Breast Cancer
Can Generative AI Reinvent Radiology Reporting?: An Interview with Samir Abboud, MD
Mammography Study Reveals Over Sixfold Higher Risk of Advanced Cancer Presentation with Symptom-Detected Cancers
Combining Advances in Computed Tomography Angiography with AI to Enhance Preventive Care
Study: MRI-Based AI Enhances Detection of Seminal Vesicle Invasion in Prostate Cancer
What New Research Reveals About the Impact of AI and DBT Screening: An Interview with Manisha Bahl, MD
Related Content
© 2025 MJH Life Sciences

All rights reserved.