Hexagon acquires Waygate Technologies from Baker Hughes for $1.45 billion

Waygate generates approximately $630 million in annual revenue with around 1,500 employees across 25 locations. The deal gives Hexagon’s Manufacturing Intelligence division computed tomography, radiography, and remote visual inspection technology with 130+ years of combined heritage.

Hexagon, the Stockholm-headquartered measurement and sensor technology group, has agreed to acquire Waygate Technologies from energy technology company Baker Hughes in an all-cash transaction valued at approximately $1.45 billion, before customary closing adjustments.

Waygate is a global leader in non-destructive testing, the field of industrial inspection that detects faults and structural defects in components without dismantling or damaging them. The deal is expected to close in the second half of 2026 subject to regulatory approvals. J.P. Morgan is serving as exclusive financial adviser to Baker Hughes on the transaction.

Waygate Technologies is headquartered in Germany and operates across 25 locations worldwide, employing approximately 1,500 people. It generated around $630 million in annual revenue in fiscal year 2025 at a 10% EBIT margin.

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The company carries more than 130 years of combined heritage through a collection of legacy NDT brands including Krautkämer, Phoenix, Seifert, Everest, and Agfa NDT. Its technology portfolio spans four main areas: computed tomography (CT), radiography, remote visual inspection, and ultrasound.

In March 2026, Frost & Sullivan named it Global Company of the Year in remote visual inspection. Waygate’s revenue is geographically spread across Asia (34%), North America (30%), Europe (28%), and the rest of the world (8%), serving aerospace, automotive, energy, battery, electronics, rail, and advanced manufacturing industries.

For Hexagon, the acquisition represents a meaningful expansion of its Manufacturing Intelligence division.

The company’s existing precision measurement portfolio excels at external surface analysis, measuring and quality-checking the outside geometry of manufactured components. Waygate’s NDT technology extends that capability inward, into the internal structure of parts, enabling defect detection and dimensional verification without destruction.

Hexagon has classified Waygate’s Radiography and Remote Visual Inspection businesses as ‘Profitability’ and ‘Growth’ assets within its operating model respectively, indicating they will receive active investment and expansion, while categorising Ultrasound and Imaging Solutions as ‘Stability’ assets subject to further strategic review, which may include divestitures. Hexagon plans to finance the deal using available cash and existing debt capacity.

For Baker Hughes, the sale is presented as portfolio management. The company’s CEO Lorenzo Simonelli said the transaction “marks another significant milestone and reinforces our ongoing commitment to long-term value creation for our shareholders.”

Waygate sits within Baker Hughes’ Industrial & Energy Technology segment, which has faced pressure to sharpen its focus. Divesting a $630 million business at roughly 2.3x revenue allows Baker Hughes to redeploy capital toward its core rotating equipment and decarbonisation priorities.