Inspiration Healthcare buys US firm Airon for $2.5m

4th Jan 2024 07:37

(Sharecast News) - AIM-listed medtech group Inspiration Healthcare (IHC) has announced it is buying American respiratory device company Airon Corporation for $2.5m.

The deal, which comprises an initial upfront cash payment of $1.5m plus an earn out of up to $1m dependent on the delivery of future revenues, gives IHC access to a "significant strategic market" in the US, the company said in a statement.

IHC is currently awaiting approval from the US Food and Drug Administration for the SLE6000 neonatal ventilator which it aims to launch in the second half of 2025.

"The acquisition of Airon provides an established platform for US market entry for the SLE6000 and other products in the company's portfolio, enabling the group to leverage Airon's established US presence, brand, and reputation for high quality specialist products," IHC said.

Chief executive Neil Campbell said the acquisition is an "important strategic milestone" for IHC.

"The potential approval of the SLE6000 represents a significant commercial opportunity and Airon gives the group an established direct presence and expertise in the USA, which will accelerate and de-risk our commercial strategy."