Siemens Healthineers Completes Acquisition of Varian, Strengthening its Position as a Holistic Partner in Healthcare

Siemens HealthineersSiemens Healthineers AG (Frankfurt: SHL) announced that it has successfully completed the acquisition of Varian Medical Systems, Inc. ("Varian"). The acquisition was previously announced on August 2, 2020.

"With Varian, Siemens Healthineers has the most comprehensive portfolio in the MedTech sector, which offers the company considerable potential for value creation. With a highly integrated approach, Siemens Healthineers will take the global fight against cancer to a new level," said Prof. Dr. Ralf P. Thomas, Chairman of the Supervisory Board of Siemens Healthineers AG.

"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. 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," said Dr. Bernd Montag, CEO of Siemens Healthineers AG.

"Through the transformative combination of Varian and Siemens Healthineers, our united company 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," said Chris Toth, CEO of Varian, a Siemens Healthineers company. "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."

The combined company is creating a unique, highly integrated portfolio of imaging, laboratory diagnostics, artificial intelligence and treatment for the global fight against cancer with significant potential for increased value creation. The acquisition aligns perfectly with the "Upgrading" phase of Siemens Healthineers strategy. With today's closing of the acquisition, Varian is expected to positively contribute to Siemens Healthineers adjusted basic earnings per share(1) within the first 12 months. Additionally, Siemens Healthineers aims for EBIT synergies of at least EUR 300 million per annum in fiscal year 2025.

Varian and Siemens Healthineers are building on the long-standing strategic partnership called "EnVision" to establish a comprehensive digital, diagnostic and therapeutic ecosystem that includes treatment management. With Varian, Siemens Healthineers will leverage AI-assisted analytics to advance the development and delivery of data-driven precision care and redefine cancer diagnosis, care delivery and post-treatment survivorship. Through early and accurate detection as well as more efficient diagnosis, increased treatment quality and access, Siemens Healthineers will support and accelerate Varian's mission to reduce uncertainty for cancer patients and increase the level of cancer survivorship.

Siemens Healthineers completed the first phase of its Strategy 2025 at the end of fiscal year 2019, during which the company successfully implemented its IPO and launched important product innovations such as the AI-Rad Companions. With the start of fiscal year 2020, Siemens Healthineers has entered the second phase of its "Siemens Healthineers Strategy 2025." This "Upgrading" phase will take Siemens Healthineers to the next level of profitable growth. With the acquisitions of Corindus and ECG Management Consultants, the company has already strengthened its offerings in adjacent growth areas. And, with Varian, Siemens Healthineers is well-positioned to grow in existing markets, enter adjacent fields and make new markets.

Varian's common stock ceased trading on the New York Stock Exchange prior to the opening of trading.

About Siemens Healthineers

Siemens Healthineers AG (listed in Frankfurt, Germany: SHL) is shaping the future of Healthcare. As a leading medical technology company headquartered in Erlangen, Germany, Siemens Healthineers enables healthcare providers worldwide through its regional companies to increase value by empowering them on their journey towards expanding precision medicine, transforming care delivery, improving the patient experience, and digitalising healthcare. Siemens Healthineers is continuously developing its product and service portfolio, with AI-supported applications and digital offerings that play an increasingly important role in the next generation of medical technology. These new applications will enhance the company’s foundation in in-vitro diagnostics, image-guided therapy, and in-vivo diagnostics. Siemens Healthineers also provides a range of services and solutions to enhance healthcare providers’ ability to provide high-quality, efficient care to patients. In fiscal 2020, which ended on September 30, 2020, Siemens Healthineers, which has approximately 54,000 employees worldwide, generated revenue of €14.5 billion and adjusted EBIT of €2.2 billion.

1. Before purchase price allocation effects, transaction, integration, retention and restructuring costs as well as gains and losses from divestments.

Most Popular Now

NHS Lanarkshire Launches Digital pre-Ope…

NHS Lanarkshire has launched an electronic pre-operative assessment platform to support the delivery of next generation care pathways for its patients. Working with Buddy Healthcare, the hospital Board has launched "ELSIE...

ANregiomed Puts Siemens Healthineers and…

This new technology partnership kicked off September 1, 2022, marks the first time that Siemens Healthineers is collaborating with a municipal medical service provider to implement a concept it has...

Consortium to Develop Fully Implantable …

A research consortium led by the UMC Utrecht Brain Center (the Netherlands) in collaboration with Graz University of Technology (Austria), the Wyss Center for Bio and Neuroengineering (Switzerland) and CorTec...

AI Model Outperforms Clinicians in Diagn…

An artificial-intelligence (AI) model built at Mass Eye and Ear was shown to be significantly more accurate than doctors at diagnosing pediatric ear infections in the first head-to-head evaluation of...

Creating the Digital Health Workforce of…

How are trusts and health tech suppliers going to find the people they need to develop deploy and optimise critical clinical information systems in the future? Highland Marketing's advisory board...

AI Tool could Reduce Common Drug Side Ef…

Research led by the University of Exeter and Kent and Medway NHS and Social Care Partnership Trust, published in Age and Ageing, assessed a new tool designed to calculate which...

Philips Foundation and RAD-AID Internati…

Philips Foundation, with its mission to provide access to quality healthcare for 100 million people a year in underserved communities by 2030, together with Philips and RAD-AID International, today announced...

New Tool Overcomes Major Hurdle in Clini…

Harvard Medical School scientists and colleagues at Stanford University have developed an artificial intelligence (AI) diagnostic tool that can detect diseases on chest X-rays directly from natural-language descriptions contained in...

CHOP Study Explores the Use of Telemedic…

Researchers from the Epilepsy Neurogenetics Initiative (ENGIN) at Children's Hospital of Philadelphia (CHOP) found that across nearly 50,000 visits, patients continued to use telemedicine effectively even with the reopening of...

A Smartphone's Camera and Flash could He…

First, pause and take a deep breath. When we breathe in, our lungs fill with oxygen, which is distributed to our red blood cells for transportation throughout our bodies. Our bodies...