ResMed announced its acquisition of Somnoware, a Sunnyvale, California-based provider of sleep and respiratory care diagnostics software.
Somnoware is a cloud-based platform for enhanced respiratory care management. Somnoware designed its software to streamline the processes of physicians and sleep and pulmonary function testing labs as they diagnose and evaluate sleep and respiratory care test results. Through the platform, positive airway pressure (PAP) therapy can run more efficiently. The software can electronically provide PAP information directly into a patient’s electronic health record.
ResMed develops, manufactures and markets medical equipment for the diagnosis, treatment and management of respiratory disorders. According to its FY 2022 financial report, ResMed’s annual revenue for 2022 was $3.6 billion.
ResMed intends to retain all Somnoware staff, integrate its offerings into the ResMed brand and solution ecosystem and maintain the open and device-agnostic nature of Somnoware’s offerings so end users can keep interoperating with various testing solutions and place orders for treatment devices and accessories from any supplier.
The transaction’s financial terms are not material to ResMed’s consolidated financial results and were not disclosed. Somnoware engaged Ziegler as its financial advisor, and King & Spalding LLP as its legal advisor. DLA Piper served as ResMed’s legal advisor.
According to data captured in the LevinPro HC database, this acquisition represents the 70th Laboratories, MRI and Dialysis transaction of 2023 and the 35th in the diagnostics subsector. This also marks ResMed’s first deal of 2023. The company has announced four deals since 2021. Last year, ResMed acquired MEDIFOX DAN in June 2022 for $1 billion, followed by mementor in August 2022.
