Hexagon Buys Waygate Technologies for $1.45B NDT Expansion

Hexagon AB is significantly expanding its industrial intelligence capabilities through a definitive agreement to acquire Waygate Technologies from Baker Hughes for approximately $1.45 billion. This strategic move propels Hexagon into the critical non-destructive testing (NDT) sector, broadening its metrology expertise beyond surface inspections to encompass internal component analysis.

The integration of Waygate Technologies, a recognized leader in computed tomography, radiography, and remote visual inspection, is set to fortify Hexagon’s Manufacturing Intelligence division. Waygate’s operations generated roughly $630 million in revenue and employ around 1,500 professionals across a global network of 25 sites. This acquisition promises to merge Waygate’s advanced inspection hardware with Hexagon’s established software, data analytics, and quality assurance platforms.

This union is designed to deliver comprehensive quality assurance solutions spanning the entire product lifecycle, from initial manufacturing through to ongoing maintenance, repair, and operations (MRO). The NDT market, a segment experiencing robust growth driven by increasing demands for product reliability and safety across industries like aerospace and energy, represents a key strategic target for Hexagon. The global NDT market is projected to reach tens of billions of dollars in the coming years, underscoring the significant opportunity.

Hexagon intends to leverage Waygate’s radiography and remote visual inspection segments as primary growth engines, while simultaneously initiating performance enhancement strategies for its ultrasonic testing and imaging solutions units. A notable benefit of this transaction is Hexagon’s enhanced access to the aerospace MRO market, where Waygate’s remote visual inspection technology is already a standard for critical aircraft engine assessments.

The acquisition is anticipated to unlock substantial value through operational synergies, optimized manufacturing processes, and expanded cross-selling opportunities within Hexagon’s extensive global customer base. Anders Svensson, President and CEO of Hexagon, highlighted the natural strategic fit, stating, “By combining Waygate’s NDT expertise with Hexagon’s precision measurement portfolio, software capabilities, and global infrastructure, we will create a uniquely integrated offering that helps our customers achieve higher quality, greater efficiency, and improved confidence across the full product lifecycle.”

Svensson further emphasized the potential for margin improvement by applying Hexagon’s proven operational model to Waygate’s businesses. The transaction is slated for completion in the latter half of 2026, contingent upon regulatory approvals. Financing for the deal will be managed through a combination of existing cash reserves and debt capacity.