ResMed aims to boost position in China market

ResMed said the Chinese market was segmented into a group of customers that favoured foreign products. Photo / AP

Sleep disorder device supplier ResMed will acquire Curative Medical in a move it says will give it a leadership position in the Chinese market.

Curative Medical is a privately held provider of ventilation and breathing devices to treat sleep disorders, with a manufacturing base in Suzhou and a distributor network throughout China and other markets.

ResMed did not disclose the acquisition price.

ResMed says the acquisition of Curative Medical is small compared to the size of Resmed's global operations, but Curative is growing faster.

"We're very excited by the opportunity. It takes us to a leadership position within the China market in sleep and respiratory medicine," said ResMed chief executive Mick Farrell.

ResMed said the Curative brand was strong in China and it would complement ResMed's product range. ResMed China and Curative Medical will retain their operational independence.

ResMed said the Chinese market was segmented into a group of customers that favoured foreign products such as those supplied by ResMed and people who favoured local products such as those supplied by Curative.

Therefore it made strategic sense that Curative keep its name, brands and products tailored for the Chinese and other markets.

ResMed reported a 2 per cent lift in full-year net profit after the rising US dollar hurt revenue from its European and Asia Pacific operations.

ResMed's net profit for the 12 months to June 30 was US$353 million ($535 million).

- AAP