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BEDFORD, Mass. - Lantheus Holdings, Inc. (NASDAQ: LNTH), a leading company in the radiopharmaceutical field with a market capitalization of $7.2 billion and impressive 18% revenue growth over the last twelve months, announced today its decision to sell its single photon emission computed tomography (SPECT) business to SHINE Technologies, LLC, a subsidiary of Illuminated Holdings, Inc. According to InvestingPro analysis, Lantheus currently trades below its Fair Value, suggesting potential upside for investors. This strategic move allows Lantheus to concentrate on its innovative positron emission tomography (PET) radiodiagnostics and microbubbles, as well as advance its pipeline of radiopharmaceuticals. The company’s strong financial position, with a healthy current ratio of 5.52 and moderate debt levels, provides solid backing for this strategic pivot. InvestingPro data reveals 12 additional key insights about Lantheus’s financial health and growth prospects, available to subscribers.
The agreement entails SHINE acquiring Lantheus’s SPECT products, including TechneLite®, NEUROLITE®, Xenon Xe-133 Gas, and Cardiolite®, along with the North Billerica, Massachusetts campus where these products are manufactured, and the SPECT-related Canadian operations.
Brian Markison, CEO of Lantheus, expressed that while the SPECT business has been integral to Lantheus’s nearly 70-year history, it is timely for this segment and its employees to join SHINE, which is optimally positioned to foster long-term growth and continue making positive impacts on patient care.
Greg Piefer, CEO of SHINE, reiterated the value of this acquisition, which builds upon their longstanding partnership with Lantheus. Piefer highlighted SHINE’s commitment to integrating the operational strength of the SPECT business with their advanced isotope production capabilities to ensure consistent growth and a reliable supply of essential radioisotopes.
Financially, Lantheus will receive an upfront cash payment, a note convertible into SHINE preferred stock, and additional consideration, including potential earnout milestones. The transaction is expected to close by the end of the year, pending customary closing conditions. The company’s robust gross profit margin of 64.4% and strong cash flows position it well for this transition. For detailed financial analysis and comprehensive valuation metrics, investors can access the full Pro Research Report on InvestingPro, which offers expert insights on Lantheus and 1,400+ other top stocks.
Advisory roles in the transaction were filled by Solomon Partners Securities, LLC as financial advisor to Lantheus, with legal counsel provided by Foley Hoag LLP and Ropes & Gray LLP, and Ernst & Young LLP offering financial and tax advisory services.
This divestiture follows Lantheus’s recent momentum, including agreements to acquire Life Molecular Imaging and Evergreen Theragnostics, further emphasizing its focus on expanding its portfolio and enhancing its radiopharmaceutical capabilities.
The information in this article is based on a press release statement from Lantheus Holdings, Inc.
In other recent news, Lantheus Holdings Inc. reported its fourth-quarter 2024 earnings, surpassing analyst expectations with earnings per share of $1.59 and revenue of $391.1 million, exceeding forecasts of $1.55 and $377.24 million, respectively. The company has also announced the completion of its acquisition of Evergreen Theragnostics, enhancing its portfolio with Evergreen’s PET diagnostic imaging agent, OCTEVY™, and radioligand therapy manufacturing infrastructure. Additionally, Lantheus plans to submit a New Drug Application for its tau PET radiodiagnostic, MK-6240, in the third quarter of 2025, following successful pivotal studies. Analysts at Mizuho Securities maintained an Outperform rating for Lantheus but adjusted the stock price target from $150 to $140, acknowledging the company’s robust earnings and guidance for 2025. Lantheus forecasts 2025 revenue between $1.545 billion and $1.610 billion, indicating a 1-5% growth. The company continues to focus on expanding its radiopharmaceutical capabilities, particularly in Alzheimer’s diagnostics and oncology therapeutics. These developments highlight Lantheus’ strategic efforts to strengthen its position in the growing radiopharmaceutical market.
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