Chad makes moves to enter sleep market
February 3, 2003
CHATSWORTH, Calif. - Chad Therapeutics, a producer and distributor of oxygen conserving devices and oxygen systems, has entered into product development and license agreements to expand its home and hospital respiratory product lines and address potential applications in the sleep disorder market.
Chad's agreements are with AirMatrix Technologies and Acoba of St. Louis, Missouri. The companies are privately held engineering and technology companies focused on the development of therapeutic gas monitoring and delivery systems.
Thomas E. Jones, Chad's CEO, said, "These agreements give us access to proprietary sensor technologies and innovative control software to improve and expand our conserver product lines, develop innovative new products to enhance our position in the far larger oxygen concentrator market, and enter the high-growth sleep disorder market for the first time.
Jones said that this product development program, a joint project between Chad's internal product development team and Acoba, is expected to take 12 to 24 months before the initial products are ready for market introduction. He said that the company expects to fund the development program from cash flow from operations.