That is one interpretation. I don't agree with it. I believe that the laying on of hands that Paul is talking to Timothy about was his ordination. I believe that the laying on of hands in Acts is a description of what we now call Confirmation, which is the sacrament in which a baptized person who had been properly instructed in the Faith, receives the seven fold gifts of the Holy Spirit.
This practice could be problematic in that some have different gifts of the Spirit at different times in their life. For example, one might not posses the gift of "the word of knowledge" in their 20's but all of the sudden they have it in their 40's. So having one ceremony whereby one receives a 7-fold gifts of the Spirit package seems too ridgid and formal to me. We as christians should make it a continual practice to lay hands on and pray for one another.
That may well be tradition, but in scripture it seems that laying on of hands either imparts the holy spirit or is used in healing.
I could only find one place where "the laying of hands" was done for something other than those purposes:
Act 6:1 And in those days, the disciples having multiplied, a murmuring of the Hellenists against the Hebrews occurred, because their widows were overlooked in the daily serving.
Act 6:2 And the Twelve called near the multitude of the disciples and said, It is not pleasing to us, leaving the Word of God, to serve tables.
Act 6:3 Therefore, brothers, look out among you seven men being witnessed to, full of the Holy Spirit and wisdom, whom we may appoint over this duty.
Act 6:4 But we will give ourselves continually to prayer and to the ministry of the Word.
Act 6:5 And the saying pleased all the multitude. And they chose Stephen, a man full of faith and of the Holy Spirit, and Philip, and Prochorus, and Nicanor, and Timon, and Parmenas, and Nicholas, a proselyte of Antioch.
Act 6:6 They set these before the apostles. And having prayed, they laid hands on them.
If this is to be considered a confirmation, then the seven people here were confirmed to be food servers.
By the way my confirmation name is Albert. :-) It was decided upon one night while my parents were playing poker with my sponser. lol.