Siemens Healthineers (ETR:SHL) announced today that it completed its acquisition of Varian Medical Systems (NYSE:VAR).
In August, the companies announced that Siemens would acquire Varian in a $16.4 billion deal to create what the companies said will be the most comprehensive cancer care portfolio in the industry. Varian shareholders approved the deal in October. Several personnel moves have followed, including the planned retirement of Varian CEO Dow Wilson and the resignation of Varian CFO J. Michael Bruff.
Following today’s closing of the acquisition, Varian is expected to positively contribute to Siemens Healthineers’ adjusted basic earnings per share within the first 12 months, according to a news release.
The two companies are building on a strategic partnership called EnVision, which sets out to establish a digital, diagnostic and therapeutic ecosystem that includes treatment management. Siemens and Varian are set to use AI-assisted analytics to advance their data-driven precision care while redefining cancer diagnosis, care delivery and post-treatment survivorship.
As a result of the completed transaction, Varian’s common stock ceased trading on the New York Stock Exchange before the opening of trading today.
“With the completion of this transaction, we are now best-positioned to take two leaps together: a leap in cancer care and a leap in our impact on healthcare overall,” Siemens Helathineers CEO Dr. Bernd Montag said in the release. “Together, we are establishing a strong and trusted partner capable of supporting customers and patients along the entire cancer care continuum as well as through all major clinical pathways.”
Varian CEO Chris Toth added that the combined companies “will address the growing need for personalized, data-driven diagnosis and precision cancer care that enables us to fight back against globally increasing cancer rates.”
“By bringing together our unique and highly complementary portfolios and capabilities, we will support oncology clinicians and patients in achieving better outcomes and move even closer to achieving our vision of a world without fear of cancer,” Toth said.