BWXT sells medical business for USD800 million

BWX Technologies (BWXT) says the sale will enable it "to concentrate resources and capital on accelerating growth in its core nuclear national security and commercial nuclear power markets, areas central to the company’s long-term strategy".

It says it will retain a minority share in the medical business and continue to provide specialised isotope and radiochemical expertise, but expects that under Sweden-based private equity firm Nordic Capital it will be "well-positioned to scale, expand capabilities and advance its market presence in radiopharmaceuticals, including developing, manufacturing and delivering products for diagnostic imaging and radiotherapeutic treatments". BWXT Medical employs 300 people in Ottawa and Vancouver in Canada.

BWXT acquired Toronto-headquartered Kinectrics in January 2025 for USD525 million. Kinectrics operates two core business areas: commercial power services and nuclear medicine. Its commercial nuclear services portfolio includes support for all stages of the nuclear power plant lifecycle and other areas of the related grid ecosystem. It produces ytterbium-176, a stable isotope used for the production of non-carrier-added lutetium-177 through irradiation at the Bruce nuclear power plant.

Rex D Geveden, BWXT CEO and president, said: "Since acquiring the medical business in 2018, we have roughly tripled revenue, improved profitability and significantly expanded the product portfolio, including novel therapeutic isotopes. As the business enters its next phase, this transaction provides an opportunity for the medical team to grow under an owner deeply committed to the healthcare sector, as we concentrate management resources and capital on our core businesses in nuclear national security and nuclear power."

Christian Hedegaard, partner, Nordic Capital Advisors, said: "We are excited about the next step as Nordic Capital sees significant potential to scale the business and expand access to cutting-edge radiopharmaceutical therapy."

The transaction, which is subject to regulatory approvals, is expected to close before the end of the year.

BWXT's nuclear operations cover a wide range of activities, including powering US navy submarines, manufacturing heavy nuclear components, developing advanced reactor fuels, small modular reactors, and also advanced nuclear systems for use on space missions by NASA.