Viasys strengthens position in sleep market
CONSHOHOCKEN, Pa. - Viasys Healthcare made a play last week to strengthen its position in the sleep therapy market by acquiring Tiara Medical Systems, an Oak Forest, Ill., maker of CPAP masks, for $24.3 million.
Viasys, which focuses on respiratory, neurology, medical disposable and orthopedic products, financed the acquisition with cash and borrowings from its revolving credit facility.
"According to Frost and Sullivan, sleep therapy is the fastest growing market segment in the global respiratory market," said Ed Pulwer, group president, Viasys Respiratory Care, in a statement. "Viasys is already a market leader in the sleep diagnostics business, with well-established brands. We believe that Tiara Medical's expertise in CPAP and non-invasive ventilation mask design will enhance the Viasys global product offering."
Earlier this summer, Viasys restructured its sales and marketing departments to make room for a separate sleep division. It also joined eight other manufacturers to form an alliance to lobby on reimbursement and other issues related to sleep disordered breathing.
Tiara Medical posted $10.3 million in revenues in 2005, and it has grown about 15% compounded over the last three years. Viasys earned $510 million in revenues in 2005.