GE HealthCare (Nasdaq:GEHC) announced today that it signed an agreement to acquire AI healthcare technology developer Caption Health.
The companies declined to disclose the financial terms of the deal.
Caption Health creates clinical applications to aid in early disease detection. The company’s technology uses artificial intelligence (AI) to assist in conducting ultrasound scans. This technology can make ultrasounds easier and faster while detecting signs of diseases like heart failure.
“Guiding ultrasound users during examinations with the help of AI is of growing importance, especially as we reach a broader set of healthcare professionals,” said GE HealthCare Ultrasound President and CEO Roland Rott. “Caption Health’s AI applications help enable reliable, consistent ultrasound examinations to deliver more precise diagnoses, improved treatment decision-making, and ultimately improved patient outcomes.”
Cashman added that the tuck-in acquisition could help “expand affordable access to ultrasound imaging.”
Caption Health CEO Steve Cashman added that combining the company’s AI with GE HealthCare’s ultrasound devices helps accelerate the company’s mission to detect disease earlier.
“We are incredibly proud of the technology we have built and together with GE HealthCare, look forward to bringing this technology to more patients across the globe” Cashman said.
Further details on the integration of Caption Health into GE HealthCare
As part of the acquisition, Caption Health plans to continue providing services to affiliated providers. The company also has a development pipeline of AI software. That includes technology for the use of ultrasound in pulmonary applications.
The transaction remains subject to customary closing conditions. GE HealthCare plans to fund it with cash on hand. The company intends to integrate Caption Health into its broader digital ecosystem.
“We couldn’t be more excited to partner with the Caption Health team to increase access and accelerate growth of ultrasound,” said Karley Yoder, chief digital officer. “Caption Health will first be integrated in the point of care and handheld business portfolio to advance ultrasound adoption, with expanded future use cases as well.”