GE HealthCare to take over Japanese radiopharmaceutical venture

GE HealthCare plans to take full control of Nihon Medi-Physics, maker of diagnostic radiopharmaceuticals and molecular imaging agents.

The company had previously split ownership of the Tokyo-based nuclear medicine outfit down the middle with Sumitomo Chemical. Now, GE HealthCare plans to buy out the remaining 50% stake, with the deal set to close by the end of March 2025.

“As the third largest pharmaceutical market in the world, and amongst the leading countries by number of cyclotrons, Japan is on a path to becoming a leader in the $7 billion molecular imaging global market and a center of excellence for Asian markets,” Kevin O’Neill, president and CEO of GE HealthCare’s pharmaceutical diagnostics segment, said in a statement.

“NMP will play a key role in that journey, including bringing its deep expertise and scale to global innovators looking to bring novel products to the Japan market and beyond,” O’Neill added. “This will strengthen our precision care strategy in Asia and our existing footprint in Japan, where our contrast media and medical devices are used every day to enable imaging procedures across the country.”

NMP was founded in 1973 and currently maintains 13 manufacturing facilities; its production portfolio has included GE HealthCare radiotracer products such as Vizamyl, DaTSCAN and Myoview, which are used in imaging exams across neurology, cardiology and oncology. The company brought in 28.2 billion Japanese yen in 2023, or about $183 million.

“We are proud of our 50-year relationship with NMP and our partnership with GE HealthCare to ensure patients in Japan could benefit from access to molecular imaging,” said Sumitomo Chemical Executive Vice President Hiroshi Ueda. “At a time of exciting developments in the industry, following its discussions with Sumitomo Chemical, we believe GE HealthCare is the best owner to enable NMP to continue its successful growth journey.”

GE HealthCare originally acquired its 50% ownership of NMP in 2004 through its purchase of the U.K. radiopharma manufacturer Amersham. Sumitomo Chemical said it expects the deal to add about 30 billion yen to its operating income, or about $200 million.