Hexagon to acquire Waygate Technologies

Key Takeaways

• Hexagon AB to acquire Waygate Technologies for approximately $1.45 billion
• Acquisition expands Hexagon's Manufacturing Intelligence business into the non-destructive testing (NDT) market
• Waygate's internal inspection capabilities complement Hexagon's precision measurement hardware and software
• Transaction expected to close in the second half of 2026, subject to regulatory approvals

Introduction to the Acquisition

Hexagon AB, a leading provider of precision measurement and manufacturing intelligence solutions, has signed a definitive agreement to acquire Waygate Technologies from Baker Hughes. Waygate Technologies is a prominent player in the non-destructive testing (NDT) market, offering a range of inspection solutions for various industries, including aerospace, automotive, energy, and industrial manufacturing.

Expanding into the NDT Market

The acquisition marks a significant expansion of Hexagon's Manufacturing Intelligence business into the NDT market, adding internal inspection capabilities to its existing measurement offerings. Waygate's portfolio includes inspection technologies such as computed tomography (CT), radiography, and remote visual inspection systems, which complement Hexagon's coordinate measuring machines and metrology software.

Comparison of Key Technologies

Benefits of the Acquisition

The combination of Hexagon and Waygate Technologies connects the former's coordinate measuring machines and metrology software with the latter's internal inspection capabilities, enabling quality workflows that require both surface and internal inspection. Waygate's CT systems also integrate with Hexagon's Volume Graphics software, while the remote visual inspection business adds exposure to aerospace maintenance, repair, and overhaul markets.

Financial Details

The total consideration for the acquisition is approximately $1.45 billion, to be paid in cash and on a debt-free basis. The transaction is expected to close in the second half of 2026, subject to customary regulatory approvals and closing conditions. Hexagon intends to finance this acquisition with cash and utilization of existing debt capacity.

Bottom Line

The acquisition of Waygate Technologies by Hexagon AB is a strategic move that expands the company's Manufacturing Intelligence business into the NDT market, adding internal inspection capabilities to its existing measurement offerings. With a total consideration of approximately $1.45 billion, the transaction is expected to support operational improvements and create new opportunities for growth and innovation in the precision measurement and manufacturing intelligence industries.