Hot week in M&A: ResMed, Pride, Solara

SAN DIEGO - ResMed has entered into a definitive agreement to buy Propeller Health, a company that provides connected health solutions for people living with COPD and asthma, for $225 million.

The Madison, Wis.-based Propeller makes small sensors that easily attach to inhalers and pair with a mobile app to automatically track medication use, and provide feedback and insights. The company's ability to support people in stage II and III severity levels of COPD are complementary to ResMed's own suite of cloud-connected vents for those with stage III and IV COPD and its new portable oxygen concentrator.

“Acquiring Propeller is a significant step for ResMed toward becoming the global leader in digital health for COPD,” said CEO Mick Farrell. “By working with Propeller's existing EAST

partners to offer digital solutions for respiratory care pharmaceuticals and building on our proven ability to support digital solutions at scale, we can positively impact the lives of even more of the 380 million people worldwide who are living with this debilitating chronic disease.”

Under the terms of the agreement, ResMed plans to buy Propeller for $225 million, primarily using its credit facility. The companies expect to close the deal before the end of the third quarter of ResMed's fiscal year 2019 (March 30).

Propeller, which also has an office in San Francisco, will continue to operate as a standalone business within ResMed's Respiratory Care portfolio. David Van Sickle, co-founder and CEO, will continue in his role, reporting to Richie McHale, president of the portfolio.

“ResMed shares our belief that connected health solutions create vastly better experiences and outcomes for people with chronic respiratory disease,” Van Sickle said. “Joining forces enables us to accelerate the adoption of Propeller's solutions at a global scale, and serve as a powerful platform for a broad set of pharmaceutical and healthcare partners.”

Pride exits lift, ramp biz

EXETER, Pa. - Pride Mobility Products has sold its lifts and ramps division to Harmar Mobility.

The move allows Pride to focus on its efforts developing consumer-driven mobility products for its scooter, power chair and lift chair product lines.

“We are pleased that Harmar has acquired our lifts and ramps division,” said Scott Meuser, chairman and CEO. “Our business is about consumers, and this change allows us to give consumers more of what they desire in our mobility products. We know that Harmar will continue to offer the same quality and support for our lifts and ramps, providing a seamless transition.”

Harmar says acquiring Pride's lift and ramp business combines “two successful vehicle-lift product lines” and solidifies its position as a “market leader.”

“The acquisition is consistent with our strategy to build on our leadership position in vehicle lifts,” said Steve Dawson, CEO of Harmar Mobility. “The Pride team has built an impressive product line and we are excited to continue to develop and grow these products alongside the Harmar brand.”

Harmar manufacturers stair lifts, vehicle platform lifts, and scooter and wheelchair vehicle lifts. It also has a nationwide certified support network called Liftsquad.

Solara makes second buy since investment

CHULA VISTA, Calif. - Solara Medical Supplies, a provider of diabetes devices, has acquired Illinois-based Huey's Home Medical.

“The addition of HHM in Illinois enhances Solara's existing Midwest presence in Michigan and Ohio, and demonstrates our ongoing commitment to improving our offering to patients, suppliers and payers,” said Keith Crawford, CEO of Solara, in a press release.

HHM, in business since 2004, is a provider of durable medical equipment and supplies.

The deal is Solara's second since it received an investment from Chicago-based Linden Capital Partners in May. In September, it acquired Ohio-based J.M.R. Medical, a supplier of DME and diabetes testing supplies.

Solara, which was founded in 2002, is a supplier of continuous glucose monitors and insulin pumps.

Brown & Fortunato served as legal adviser to Solara.

Independence HomeHealthWares sells to roll-up

PROVIDENCE, R.I. - Independence HomeHealthWares has been acquired by Point Ventures.

Independence, which was founded in 1999 by Richard Westlake and Charlene Russell, offers DME like beds, wheelchairs, bath safety items, ramps, oxygen concentrators and incontinence supplies throughout Rhode Island and nearby Massachusetts.

“I wish (Point Ventures) great success going forward,” said Westlake, Independence's past president. “All of us are committed to helping our customers become independent of the physical challenges they are facing, and doing so with dignity and compassion.”

Point Ventures was formed earlier this year to pursue acquisitions in in the DMEPOS industry. Todd Ackerman at Point Ventures will take over as Independence's president.

“On behalf of Point Ventures, we are thrilled to have completed the transaction with Richard Westlake and Charlene Russell,” he said. “Independence's service culture is unprecedented within the home health industry, helping to improve customers' quality of life.”

Russell will remain as COO and Independence's staff has been retained.

Paragon Ventures served as the advisor to Independence during the transaction. Terms of the deal were not disclosed.

Aeroflow expands geographic reach

ASHEVILLE, N.C. - Aeroflow Healthcare has acquired the CPAP resupply business of Wheelock Home Medical, a Michigan-based provider that recently closed. “The transition of Wheelock's patient base was executed in a very patient-friendly manner, and Aeroflow will ensure the patients are provided with the service and attention required to support their sleep therapy,” said Andrew Amoth, corporate development associate for Aeroflow in a press release. The provider recently announced it had acquired the CPAP resupply business of Augusta, Ga.-based Integrity Medical; and the CPAP, wound care, incontinence and urology resupply business of Polson, Mont.-based HealthCare Plus.