South Korea's Lunit buys NZ-based Volpara Health Technologies for $193 M

South Korea-based startup Lunit, a leading provider of artificial intelligence (AI)-powered solutions for cancer diagnostics and therapeutics, has announced its proposal to acquire New Zealand (NZ)-based Volpara Health Technologies, a global leader in AI-enabled software for the early detection and prevention of cancer. The strategic move comes as a result of an exhaustive evaluation of potential avenues for growth and innovation by Lunit.

Following the decision, Lunit and Volpara have entered into a Scheme Implementation Agreement, under which Lunit will acquire all of Volpara's shares at a price of AUD 1.15 per share through a New Zealand scheme of arrangement (Scheme).

Combining Volpara’s established presence in the US with Lunit’s complementing global footprint and AI expertise will create a compelling portfolio of advanced AI-enabled solutions for radiology and for other healthcare specialties.

The cash offer of AUD 1.15 per share represents a compelling 47.4% premium to Volpara's last closing share price of AUD 0.78 per share on December 13th. Lunit is set to acquire a total of 254 million shares, translating to a deal worth about AUD 292 million ($193 million). Subject to the successful completion of these steps, Lunit anticipates finalizing the acquisition by the end of the second quarter of 2024.