Varex Imaging acquired by TELEDYNE TECHNOLOGIES INCORPORATED
Context
Teledyne's acquisition of Varex creates a fully integrated component supplier across medical imaging and industrial inspection markets. The transaction directly addresses a structural gap in Teledyne's portfolio: while it previously manufactured low-dose CMOS sensors for dental uses and magnetrons for radiotherapy machines, it lacked in-house X-ray tube production for hospital CT scanners and fluoroscopy units. Key strategic drivers include: (1) Direct Portfolio Fit: Teledyne secures high-output X-ray tube engineering, radiation-hardened detectors for oncology, and next-generation photon-counting sensor technology. (2) Turnkey OEM Subsystems: The combined business can now supply medical and industrial equipment builders with the entire imaging chain—linking the X-ray source, the digital detector, and the processing algorithms. (3) Cross-Selling Reach: Expanding global distribution to major scanner manufacturers in non-destructive testing (NDT), cargo inspection, and airport security checkpoints across North America, Europe, and Asia.
The acquisition of Varex Imaging is part of the growth strategy of Teledyne Technologies Incorporated, which already has several external growth operations under its belt, notably Adimec in 2024.
Varex Imaging, which reported an EBITDA margin of in 2026, is valued in this transaction at an EV/EBITDA multiple of , representing a to the average currently observed in the Healthcare & Pharma sector (14.3x).
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Target
Headquartered in Salt Lake City, Utah, with an international footprint spanning manufacturing, research, and service hubs across North America, Europe, and Asia, Varex Imaging Corporation is an independent developer and producer of mission-critical X-ray imaging components. Employing roughly 2,500 people, the company engineers advanced hardware and software modules that serve as core subsystems within complete radiographic apparatus. Its core product suite features heavy-duty X-ray tubes, high-resolution digital flat-panel detectors, next-generation photon-counting sensors, high-voltage interconnect assemblies, and proprietary image-reconstruction software platforms. Rather than marketing standalone end-user machinery, the firm acts as a primary component partner to original equipment manufacturers (OEMs) across healthcare and industrial markets. In the medical field, its subassemblies power diagnostic computed tomography (CT) scanners, mammography systems, fluoroscopy equipment, and oncology treatment guidance platforms. On the industrial side, its hardware is integrated into high-energy non-destructive testing (NDT) setups, automated inline manufacturing inspection stations, and security checkpoints for cargo, baggage, and vehicle screening. Its engineering focus centers on high-radiation tolerance, superior signal-to-noise ratio, and lower patient dosage.
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REFERENCES
Valuation range: EV 1b - 4b USD
Revenue range: 450M - 900M USD
EBITDA range: 100M - 200M USD
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Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.
Press release: view release
Target: varex imaging
Acquirer: teledyne technologies incorporated