CONSHOHOCKEN, Pa. — VIASYS Healthcare Inc. has acquired Tiara Medical in a move that expands VIASYS’ presence in the sleep market
“The acquisition of Tiara Medical reflects our commitment to expand our presence in the sleep therapy market,” said Randy Thurman, chairman, president and CEO, VIASYS. “We believe that this acquisition positions us to compete effectively in this rapidly growing market segment by building on our existing product offering. In addition, we believe that our access to the decision makers in the sleep therapy market, our existing presence in this market, and our international sales and distribution capability will allow us to increase sales of the Tiara products.”
Based in Oak Forest, Ill., Tiara Medical designs, manufactures, markets and sells CPAP masks, headgear, circuits and filters. These products are complemented by a comprehensive product line of specialty filters and accessories for oxygen concentrators and mechanical ventilators. Tiara Medical recently introduced The Advantage Series™ Full Face Mask and the Snapp-X™ Direct Nasal Interface.
“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. “VIASYS is already a market leader in the sleep diagnostics business, with well-established brands such as Jaeger™ and SENSORMEDICS®. We believe that Tiara Medical’s expertise in CPAP and non-invasive ventilation mask design will enhance the VIASYS global product offering. We believe this acquisition is a key step following the establishment earlier this year of the VIASYS Sleep Division as a separate operating entity focused on this opportunity. Rebecca Mabry, general manager, Sleep Diagnostics and Therapy, will be responsible for integrating this acquisition into VIASYS.”
James Fitzsimmons, president and CEO, Tiara Medical, expects the combined product offerings of the two companies to increase the variety of treatment options for clients with sleep disorders. “We also expect that VIASYS’ global distribution and product support infrastructure will greatly enhance Tiara Medical’s ability to penetrate domestic and international markets for sleep diagnostic and therapeutic devices,” he said.
Under the terms of the acquisition agreement, VIASYS acquired all of the outstanding stock of Tiara Medical through one of its subsidiaries for consideration of approximately $24.3 million. VIASYS financed the acquisition with cash and borrowings under its revolving credit facility. Tiara’s 2005 revenues were $10.3 million, and the company has grown approximately 15 percent compounded over the last three years.
