Canadian Firm Completes Purchase of North American Imaging

DC DiagnosticCare announced that it has completed the acquisition of Camarillo-based North American Imaging.

The Edmonton-based company--which operates a chain of diagnostic imaging clinics in Canada--had signed a letter of intent on May 26 to purchase the privately held NAI.

Several would-be suitors had taken a look at NAI recently, although the company was not actively pursuing a merger deal, according to President Peter Dempster.

“We never had a ‘for sale’ sign on our door,” he said.

However, because of the company’s successes--it is billed as the world’s largest independent supplier of glass tubes for X-ray equipment--it became a target for growth-hungry companies.

What was so appealing about the deal DiagnosticCare proffered?

During talks, Dempster said, “we discovered there were grounds for a merger. They represented a very user-friendly company. Most importantly, though, they want to leave us alone.”

NAI will continue to operate with a great deal of autonomy, and an emphasis will be put on its own expansion.

“We are looking to grow our business,” Dempster said.

Being in the public arena will bolster NAI’s ability to make acquisitions, he said.

Immediate growth plans include the introduction of new technology products, which the company is in the process of marketing, he said.

A chief role for NAI in its new incarnation will be to apply its outsourcing management expertise in Canada’s radiology industry: The company will be called on to boost DiagnosticCare’s position in the management of radiology equipment for outside companies and hospitals.

The company has 39 employees with immediate plans to add two positions, one in the service sector and another in the sales department.

For the fiscal year ended May 31, NAI generated $18.2 million in sales and $1.9 million in earnings before interest, taxes, depreciation and amortization.