Roche has entered into a definitive merger agreement to acquire PathAI, a US-based company in digital pathology and AI-powered technology for pathology laboratories and the biopharma industry.

Under the terms of the agreement, Roche will pay a purchase price of $750 million upfront and additional milestone payments of up to $300 million.

This acquisition builds on the existing partnership between Roche and PathAI established in 2021 and scaled up in 2024 to include the development of AI-enabled companion diagnostic algorithms. Subject to the closing of the transaction, which is expected in the second half of the year, the acquired entity will become part of the Diagnostics division.

This acquisition strengthens Roche’s position in Digital Pathology, which is transforming extensive manual workflows into fully automated, AI-driven processes and insights.

“Digital pathology has the potential to improve precision diagnosis of cancer and enable physicians to offer better tailored treatment regimens,” said Matt Sause, CEO of Roche Diagnostics. “Bringing PathAI into Roche Diagnostics will allow us to combine their best-in-class digital pathology tools with our leading oncology diagnosis platforms to deliver better insights for physicians and potentially better outcomes for patients worldwide.”

Andy Beck, CEO and Co-Founder of PathAI, said, “Joining forces with Roche marks a new era for PathAI, enabling us to realize our mission of improving patient outcomes through AI-powered pathology at unprecedented scale and speed. Roche’s global infrastructure and expertise will bring our digital diagnostics technology to patients worldwide.”

PathAI’s AISight IMS software interface integrates advanced analysis and workflow capabilities within the digital pathology laboratory. In the rapidly growing pathology market, Roche intends to scale this solution globally.

In addition, the expanded capabilities strengthen Roche’s competitiveness in precision medicine by enhancing its biopharma services. PathAI’s strength in AI-driven solutions, including clinical trial support and translational research, will complement Roche’s expertise in companion diagnostics. Roche believes that combining these capabilities will foster the discovery of new biomarkers, potential drug targets and novel diagnostic tools, increasing the value Roche can bring to biopharma companies.

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