MIAMI, Dec. 19, 2011 /PRNewswire/ -- (Pink Sheets: SIMH) Sanomedics continues its planned growth strategy into the expansive sleep apnea treatment market by the signing of a letter of intent with an acquisition target on the east coast to complement its recently announced proposed acquisition on the west coast last week. The proposed east coast transaction is expected to close by early 2012. The acquisition is subject to, among other things, the successful completion of due diligence as well as the negotiation and execution of definitive agreements.
The operation is geographically well positioned for Sanomedics planned growth on the east coast and into its home market of Florida with sleep treatment devices and services. The target company has grown rapidly in recent years with revenue over $2 million (profitable operations) and, following the completion of the acquisition, it is expected to continue its growth projections under the management of Sanomedics with its focus on sleep treatment devices and services.
Sleep related disorders are getting a lot of attention in the clinical and consumer communities these days, and in particular, interrupted sleep (Sleep Apnea). Studies published in the New England Journal of Medicine (NEJM) demonstrated that patients with sleep apnea have a heightened risk of heart disease and other related health risks. By far, the largest and fastest growing segment of the sleep apnea market is treatment products. These represented 80% of the overall multi-billion dollar market, with the largest treatment segment being positive airway pressure devices. The market for these devices and services is forecast to grow considerably over the next five years, according to reports.
"The acquisition of a regionally established sleep treatment based operation is an important step in the national growth of Sanomedics," said Keith Houlihan, Co-founder and President.