Pre-market trading saw a sharp increase in the price of iCAD, Inc.’s (NASDAQ: ICAD) shares, which rose 69.37% to $3.27. The news of a major merger deal with RadNet, Inc. (NASDAQ: RDNT) followed by this increasing momentum. The market has been rocked by the acquisition, which will see RadNet buy iCAD in an all-stock deal.
Specifics of the Merger Agreement
According to the terms of the merger agreement, after the conclusion of the transaction, each iCAD share held by shareholders will be exchanged for 0.0677 shares of RadNet common stock. The agreement is worth around $103 million, or about $3.61 per iCAD share on a fully diluted basis, based on RadNet’s closing price as of April 14, 2025. The proposal is appealing to iCAD’s stockholders since it represents a premium of around 98% over the closing stock price.
Increasing the Range of Diagnostic Skills
With a new case of breast cancer being diagnosed worldwide every 14 seconds, the combination of iCAD and RadNet arrives at a critical juncture in the healthcare industry. In 2025 alone, more than 42,000 women in the United States are predicted to lose their lives to breast cancer.
Together, RadNet’s DeepHealth AI-powered breast screening technology and iCAD’s ProFound Breast Health Suite have the potential to improve patient outcomes and early diagnosis globally. Through the combination, access to life-saving diagnostic solutions will be increased by utilizing the capabilities of both businesses.
Increasing Innovation and Global Presence
RadNet will have instant access to a large client base and significant commercialization potential because to iCAD’s robust sales and marketing infrastructure and its vast installed base of more than 1,500 healthcare provider locations globally.
This collaboration is anticipated to strengthen RadNet’s leadership in AI-powered breast cancer screening and accelerate its DeepHealth AI goals. Depending on iCAD stockholder approval and standard regulatory requirements, the transaction is expected to conclude in the second or third quarter of 2025. The deal has been unanimously authorized by the boards of directors of both firms.
