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GE HealthCare announced it has finalized its acquisition of medical imaging software provider Intelerad for a base price of $2.3 billion in cash and debt financing.
Intelerad works with hospitals and health systems, radiology and cardiology practices, and life sciences companies to connect medical information across departments.
Its offerings include cloud-enabled platforms like IntelePACS, which allows radiologists to read images anytime, anywhere, and the imaging workflow platform InteleOrchestrator.
The company's InteleShare integrates with a health system's EHR and allows patients to access their images. It also enables sharing with Epic MyChart, Athena's Patient Portal, Cerner and more via a QR code.
The global medical technology company used cash and proceeds from debt financing to acquire Intelerad, and the software company will become part of GE HealthCare's imaging business. Intelerad will continue to work with its customers in the U.S., the UK, Canada and Oceania.
GE HealthCare said the deal will expand its reach into specialized clinics and ambulatory care environments and allow for a more comprehensive, cloud-first and AI-enabled imaging offering.
"We are excited to welcome Intelerad to the GE HealthCare team to create an end-to-end, cloud-first and AI-enabled enterprise imaging solution for customers," Roland Rott, president and CEO of imaging at GE HealthCare, said in a statement.
"Intelerad's cloud-enabled software will support GE HealthCare's imaging technologies and AI capabilities by simplifying complex workflows and providing patients and customers with more precise, connected care across the continuum."
THE LARGER TREND
GE HealthCare said in a statement that Intelerad's revenue is already growing annually in the low-double-digit range and is expected to accelerate after the acquisition.
It anticipates Intelerad's revenues in the first full year of ownership will be around $270 million, approximately 90% of which is recurring.
GE HealthCare said it expects a high-single-digit return on invested capital by year five.
In February, GE HealthCare reported its fourth-quarter 2025 and full-year earnings, with revenue growth of 7.1% to $5.7 billion in the quarter and 4.8% to $20.6 billion for the year.
Net income for Q4 2025 was $589 million compared to $720 million for the same period in 2024, and full-year 2025 results showed a total of $2.1 billion versus $2 billion in the previous year.
In the fourth quarter of last year, the company brought in about $1 billion in cash from operating activities, $137 million more than in the same period in 2024. After expenses and investments, it retained about $916 million in usable cash, $105 million more than in Q4 2024.
For the whole year, GE HealthCare generated about $2 billion from operating activities, up $32 million, slightly higher than the previous year.
Free cash flow for 2025 was $1.5 billion, down $49 million from 2024. The company said the decrease was due to tariff impact, offset by lower interest and income taxes paid.
GE HealthCare's stock [NASDAQ: GEHC] is currently trading at around $70.11 per share.
