Saanichton’s Redlen Technologies acquired by Canon in $424M deal
Canon plans to leverage Redlen’s technology to innovate in its Canon Medical division.
Saanichton, BC-based Redlen Technologies is being acquired by Canon.
Founded in 1999, Redlen develops sensors that are driving innovations in computed tomography cameras (CT scanners), improving diagnostic capabilities and reducing the amount of radiation a patient is exposed to. Canon plans to leverage Redlen’s technology in its Canon Medical division to reduce radiation exposure in its CT scanners.
Canon had already owned 15% of Redlen until this announcement. According to a report from Nikkei Asia, the deal for Canon to purchase the final 85% of the company is worth USD$270 million (CAD$341 million).
A spokesperson for Pangaea Ventures, which was Redlen’s biggest investor, also confirmed to Vancouver Tech Journal that the entire purchase price – today’s transaction plus the initial deal for 15% of the company – is worth USD$335 million (CAD$424 million) in total.
“Redlen has enjoyed a very lengthy and productive collaboration with Canon Medical on photon counting CT,” said Glenn Bindley, president and CEO of Redlen Technologies in a statement. “We're excited to now become a member of the Canon group with access to the world class manufacturing and scale-up expertise within Canon that will help us accelerate market adoption of our industry leading radiation detection and imaging products.”
Canon, Redlen and the medical field are not the only winners from this transaction. Pangaea Ventures was the largest shareholder in Redlen, initially investing in the company in 2014 as it was pivoting from supplying materials into solar manufacturing to medical imaging. This acquisition represents a 20x increase in enterprise value since Pangaea’s initial investment in Redlen.
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