MURRYSVILLE, Pa., Oct. 2 /PRNewswire/ - Respironics, Inc. (Nasdaq: RESP) today announced that it has acquired 100% of the outstanding shares of Apollo Light Systems, Inc., a 20-year-old, privately held company and a leading manufacturer of light therapy systems for melatonin suppression and circadian rhythm sleep disorders. Operating under the name Apollo Health, the company is located in American Fork, Utah and has annual revenues of approximately $5 million. The base cash purchase price is $6.5 million, with provisions for additional payments to be made based on Apollo's operating performance over the next year. Total potential earn out payments are less than the base purchase price.
"Apollo's light therapy technologies further our strategy to expand into the broader sleep market. Apollo will become part of our Sleep Well Ventures business which is focused on pursuing opportunities in insomnia, circadian rhythm disorders and other sleep/wake market segments," stated John L. Miclot, President and CEO of Respironics. "Our intent is to broaden the scope of the company beyond our core business of obstructive sleep apnea and to enter white spaces where we can serve the needs of problems sleepers seeking medical devices that are easier and more natural to live with," Miclot added.
The company stated that the acquisition will not have a material impact on revenues or earnings and the company will not be changing its financial outlook or guidance based on this announcement.
Apollo Health is the leading provider of light therapy systems in the U.S. offering both tabletop and small handheld units. Apollo's products align with Respironics' existing professional sleep clinician and homecare provider channels and reach other channels including researchers in sleep and psychiatry, and practice-based physicians. Apollo's products are also sold through mass market retailers and direct internet sales.
Apollo's product line includes the briteLite(TM)
|SOURCE Respironics, Inc.|
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