Philips Buys RespirTech for Undisclosed Amount
Dutch conglomerate Philips recently announced that it will purchase Respiratory Technologies Inc. (RespirTech). According to its website, RespirTech describes itself as a St. Paul, Minnesota-based provider of inCourage vests, which help fight respiratory disease. According to a news release, the terms of the deal were not disclosed.
RespirTech’s website states that the inCourage vest uses high-frequency chest compression to help loosen and move mucus through the lungs. According to RespirTech’s website, the inCourage technology was developed by Pediatric Pulmonologist Warren Warwick, M.D., and Leland Hansen, MPH, in the early 1990’s to provide more effective secretion clearance for University of Minnesota cystic fibrosis patients.
According to Philips’ website, the conglomerate has primary divisions in the areas of healthcare, lighting, and home electronics. Philips’ 2016 annual report states that sales in its HealthTech portfolio increased 4% and topped $19 billion. In contrast, news sources state that RespirTech was founded in 2004 and reportedly had nearly $37 million in revenue in 2015.
Regarding the acquisition, John Frank, Philips’ business leader for sleep and respiratory care, said in a news release:
With this transaction, we will broaden our portfolio with a proven therapy to enable patients with chronic respiratory disorders manage their condition and receive the care they need in the home.
According to Philips’ CEO, Franz van Houten, Philips has transformed itself over the last five years into a differentiated global health tech leader. Mr. van Houten stated that the markets Philips’ serve have attractive growth and attractive profitability. According to news sources, GE Healthcare, Siemens Healthineers, and Toshiba Medical Systems are other conglomerate divisions competing with Philips in the healthcare space.
As one analyst notes, the Twin Cities have produced a number of competing companies that make vests for treating lung conditions, including New Prauge-based ElectroMed Inc., and St. Paul-based Hill-Rom.
Respironics Files for Inter Partes Review of ZOLL Medical’s Patient Monitoring Patent
Respironics, Inc., a subsidiary of Koninklijke Philips N.V., filed a petition last Friday with the Patent Trial and Appeal Board requesting inter partes review of ZOLL Medical Corporation’s U.S. Patent No. 6,681,003 to Linder et. al. The petition identifies Koninklijke Philips as a real party-in-interest.
The ‘003 patent is entitled “Data Collection and System Management for Patient-Word Medical Devices.” The ‘003 patent relates to “a method and system of monitoring information received from a patient-word medical device.”
The petition seeks review of nine of the patent’s 35 issued claims. Eight of these nine claims identified in the petition have been asserted by ZOLL Medical against Respironics in a lawsuit filed in the U.S. District Court of Delaware. The amended complaint, filed on January 9, 2013, alleges that Respironics’s “patient medical monitoring and treatment systems and methods” including positive airway pressure devices, infringe the ‘003 patent.
Share
