Investing.com -- Shares of EssilorLuxottica (EPA:EL) climbed 1.5% following the company’s announcement of its acquisition of Cellview Imaging, a Canadian start-up specializing in diagnostic and retinal imaging solutions.
The financial details of the deal have not been disclosed, but the acquisition marks EssilorLuxottica’s second venture into the ophthalmology diagnostics space, following the purchase of Heidelberg (ETR:HDDG) Engineering.
The move is seen as a strategic expansion for EssilorLuxottica, as it enhances its diagnostics offerings and leverages its existing operating model to potentially increase in-sourcing. Cellview Imaging’s products, which are FDA and CE approved, provide eyecare practitioners with tools to diagnose retinal pathologies.
The company has a significant market opportunity, ranging from retail eyecare practices to ophthalmology clinics. With its current distribution in North America, Cellview is poised for expansion into other regions, starting with Europe.
Analysts at RBC commented on the acquisition, stating, "we believe EL is pursuing structural expansion into selective Ophthalmology sub-categories including Diagnostics (already in progress) and potentially Cataracts and Contact Lenses."
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