For all the companies and remedies devoted to sleep disorders, it’s a wonder they haven’t been cured by now. The latest deal targeting a company focused on sleep apnea and other conditions was announced last week, on April 11.
SleepScore Labs, a medical device company based in Carlsbad, California, acquired the Dutch technology company Sleep.ai for an undisclosed amount.
SleepScore Labs was founded in 2016 and is a joint venture between Dr. Mehmet Oz, ResMed (NYSE: RMD) and Pegasus Capital Advisors. It is focused on improving sleep and uses ResMed’s SleepScore technology. ResMed specializes in cloud-connected devices for daily remote patient monitoring, to help treat and manage sleep apnea, chronic obstructive pulmonary disease and other respiratory conditions.
Founded in 2014, Sleep.ai is a digital technology service specialized in highly sophisticated analysis during sleep using the patient’s mobile device. Its app, which has been downloaded more than 250,000 times from the App Store and Google Play store, lets consumers to know if they snore or grind their teeth during sleep. It helps dentists monitor patients after they’ve begun dental treatment for either condition.
About 8% of adults have bruxism (snoring and teeth grinding during sleep), according to a 2005 study, and more than 30% snore, according to the American Academy of Sleep Medicine.
Sleep.ai founder and CEO Michiel Allessie, a Dutch board-certified sleep dentist, will join the SleepScore Labs team as Vice President of Snoring and Bruxism.
Checking our DealSearchOnline database, more than 100 deals targeting some type of sleep remedy have been recorded since 1994. The majority of those deals did not disclose financial terms, yet some $12 billion was reported to fund those deals.
The largest was announced in December 2007, when Royal Philips Electronics (NYSE: PHG) acquired Resprionics, Inc. (then NASDAQ: RESP) for $5.1 billion in cash. Respironics developed, manufactured and sold products and programs that serviced the sleep and respiratory markets. On a trailing 12-month basis (meaning all of 2007), RESP generated revenue of $1.24 billion, EBITDA of $246 million and net income of $128 million.