BWX Technologies (BWXT) has announced an agreement to acquire Toronto-based Kinectrics Inc. for approximately $525 million, including debt, pension liabilities, and transaction costs.
The acquisition aims to expand BWXT’s footprint in the global nuclear and radiopharmaceutical markets, enhancing its life cycle management capabilities.
Kinectrics, a leader in nuclear power services and isotope production, is projected to generate $300 million in revenue in 2024. The company’s expertise spans commercial power services, including design, maintenance and grid reliability, and nuclear medicine, highlighted by its role in Lutetium-177 isotope production since 2022. Kinectrics employs over 1,300 professionals across 20 locations worldwide.
“This acquisition expands our ability to deliver end-to-end solutions to existing and new customers more efficiently,” said John MacQuarrie, president of BWXT Commercial Operations. He highlighted the strategic fit of Kinectrics' capabilities in supporting utilities, small modular reactor (SMR) designers, and healthcare partners in the growing nuclear and medical isotope markets.
Kinectrics will operate as a subsidiary within BWXT’s Commercial Operations segment, nearly doubling the workforce in this division. David Harris, Kinectrics' president and CEO, will continue to lead the organization, reporting to MacQuarrie.
The acquisition is expected to close mid-2025, subject to regulatory approval, and will be modestly accretive to BWXT’s earnings, excluding purchase accounting adjustments.
Earlier this year, BWXT announced a $60 million expansion at its Cambridge, Ontario, facility, aimed at boosting its production capacity and workforce. The company also
entered a multiyear agreement with NorthStar Medical Radioisotopes to produce actinium-225 (Ac-225) that focuses on the processing and purification of radium-226 to produce the cancer treating isotope and meet the growing demand in therapeutic applications.
