ResMed announces $800 million acquisition of Brightree
SAN DIEGO, Calif. – ResMed today announced plans to acquire Brightree for $800 million.
The move will allow ResMed, a manufacturer of devices to treat sleep disordered breathing, COPD and other chronic respiratory conditions, to push further into connected health. Brightree is a provider of cloud-based software to improve clinical and business performance in post-acute health care.
“This acquisition furthers ResMed’s position as the leading tech-driven medical device company and gives our customers new tools to help them increase operational efficiency and improve cash-flow while delivering best-in-class patient care,” said Mick Farrell, CEO of ResMed. “This acquisition will enable us to add to our portfolio of digital solutions to drive operational excellence and improve outcomes for patients, providers and payers.”
Brightree employees and President/CEO Dave Cormack will continue in their current roles and the company will be managed independently with its headquarters remaining in Atlanta.
Brightree has been rumored to be exploring a sale for the past few months.
Under terms of the agreement, ResMed will acquire Brightree for $800 million in cash, which ResMed will fund primarily with debt. Brightree had net sales of approximately $113 million and EBITDA of about $43 million in calendar year 2015.
The transaction is expected to close by the end of the fourth quarter of fiscal year 2016.