As of January Japan’s Teijin Pharma, which holds the lion’s share in home oxygen therapy (HOT) in Japan, has acquired 85% of the issued stock of New York’s Associated Healthcare Systems and turned the homecare equipment supplier into a consolidated affiliated company.
With the newly announced acquisition, Teijin Pharma has obtained a new business base in the US market, renowned as an advanced country in the HOT business. The company is also now positioned to take advantage of the economic base of Associated Healthcare Systems, which is strongly positioned in the market of respirators in the US.
Headquartered in Tokyo, Japan, Teijin Pharma was established in 2002 and is involved in the sales, marketing and manufacturing of pharmaceuticals and medical devices, and as recently as 2006 established the oxygen therapy company Yuyu Teijin Medicare in conjunction with Korean pharmaceutical company Yuyu.
Similarly, Associated Healthcare Systems is engaged in the business of homecare equipment such as oxygen concentrators and continuous positive airway pressure equipment. Sales for the firm reached $17.3m in the 2006 financial year and while Teijin Pharma will not initially be seeking to obtain a sales route in the US for its own products, the purpose of the acquisition is to harness the know-how and expertise for the expansion of its HOT business.