ResMed Acquires Korean Homecare Device Company HB Healthcare to Expand Global Digital Respiratory Market

VCBeat (WeChat Official Account: vcbeat) has learned from foreign media that ResMed, a global leader in sleep health, recently announced the acquisition of HB Healthcare (HBH), a South Korean supplier of home medical equipment. The move aims to help South Koreans suffering from sleep apnea, chronic obstructive pulmonary disease (COPD), and other respiratory conditions alleviate their symptoms. The financial terms of the acquisition were not disclosed.

ResMed (NYSE: RMD, ASX: RMD), founded in 1989 and headquartered in California, United States, is a global leader in medical devices. The company provides cloud-connected sleep and respiratory care equipment to more than 120 countries worldwide, with over six million cloud-connected devices enabling daily remote monitoring for patients. ResMed’s devices and software solutions help treat and manage sleep apnea, chronic obstructive pulmonary disease (COPD), and other respiratory conditions. The company is committed to improving patients’ quality of life, reducing the impact of chronic diseases, and lowering healthcare costs for patients.

HBH is a rapidly growing South Korean private supplier of home medical devices, specializing in sleep and respiratory care equipment. ResMed plans to expand its reach to more patients with respiratory conditions or poor sleep quality by partnering with HBH and its network of trusted distributors, thereby increasing ResMed’s market share in the global digital respiratory care market.

A study by Ansan Hospital of Korea University and the Korea Centers for Disease Control and Prevention shows that one in five adults in South Korea suffers from sleep apnea. In July 2018, the South Korean government launched a reimbursement program under the National Health Insurance Service for the diagnosis of sleep apnea and CPAP treatment devices.

CPAP Schematic Diagram

CPAP, or Continuous Positive Airway Pressure, is a type of ventilator that applies pressure to the airways to keep them open, allowing patients to breathe in air. Kim Ho-yoon, Sales Director of ResMed Korea, stated, “This acquisition strengthens ResMed’s leading position in the CPAP respiratory care market in South Korea, helping millions of Koreans improve their breathing and sleep quality. By collaborating with HBH’s Korean distributors, ResMed can maximize people’s access to the benefits of cloud-connected sleep and respiratory therapy.”

Currently, the South Korean government has approved reimbursement for ResMed’s AirSense 10 and AirMini (the world’s smallest CPAP device), enabling patients in South Korea to receive treatment for sleep apnea at home. A 2018 study demonstrated that combining home ventilator support with home oxygen therapy significantly reduces COPD-related readmission rates and lowers out-of-pocket expenses for patients.

ResMed has been selling sleep and respiratory care devices in South Korea for over a decade, consistently striving to deliver high-quality healthcare services to Korean customers by providing innovative services and support to its official partners nationwide. Following this acquisition, ResMed also plans to offer a range of home ventilators to patients through its distribution partners in South Korea. These ventilators will be connected to the ResMed Cloud in the second half of this year.

Hong Seung Chul, Managing Director of HB Healthcare, stated, “We are delighted to join the ResMed family and work together to provide cloud-connected devices to millions of Koreans suffering from sleep apnea, chronic obstructive pulmonary disease, and other chronic conditions.”

According to incomplete statistics from VCBeat, ResMed has completed 25 acquisitions and 34 investments since its establishment, with a total market capitalization exceeding $29 billion.

(Compiled by: Wang Chan)