iHealth and eDevice Join Forces to Become the World’s Leading Connected Healthcare Provider
iHealth (Andon Group) has acquired eDevice, for an agreed transaction price of EUR 93.88 million (approx. USD 106 million).
Mountain View, CA - August 31, 2016 - The Connected Care space is developing rapidly and will continue to do so for a number of years. Connected Care allows individuals and caregivers to identify health problems before they become dangerous for the individual, reduce the cost to the healthcare system, and a burden on his or her employer. Connected Care can empower patients, improve their compliance, allow to correct a care plan, adapt a medication, inform caregivers, reduce hospital readmissions, and allow patients and their families to live a better life.
eDevice with headquarters in Bordeaux France, is recognized as a leader in the Connected Care market and has been relied upon for fifteen years by market leaders to provide solutions that securely transmit medical data between their patients and their systems, with hundreds of thousands of patients currently connected using eDevice technology and solutions. With an impressive track record of 10 consecutive years of high revenue and profits growth, and the most prestigious references in the healthcare world, eDevice is the European “success story” of the Connected Care.
iHealth with headquarters in Mountain View California, was the first brand to release an iOS connected blood pressure monitor and became a leader in its space by proposing a full healthcare and wellbeing product range in the consumer Connected Healthcare market. Its products, that have received rewards from Red Dot design, iF design, and CES innovation, and are distributed worldwide through reputable retail channels, empower people to manage their health and wellbeing and support monitoring along the continuum of care.
Due to the aging population, the increasing burden of healthcare costs and the development of chronic diseases, the mHealth Solutions Market including Connected Devices (Blood Pressure Monitor, Glucose Meter, Pulse Oximeter) Apps (Weight Loss, Womens Health, Personal Health Record, & Medication) and Services (Remote Monitoring, Consultation, Prevention) is expected to witness exponential growth in the coming years. According to Markets&Markets, this market is poised to reach USD 59.15 Billion by 2020, growing at a CAGR of 33.4% until 2020.
Together, iHealth, eDevice and Andon Group are present in all the segments of the market.
Stephane Schinazi, co-founder of eDevice declares “We have built a fantastic toolset able to answer to the requirements of the most demanding healthcare companies regarding quality, regulatory, and scalability. Whilst our client base is mostly in the US, we see the opportunity to address global markets with more geographic presence and more resources”. Marc Berrebi, the other co-founder adds, “We are on a fragmented market. While a number of protagonists are still trying to figure out what they could do to enter the space, eDevice and iHealth have an established position in the B2B (Business to Business) and B2C (Business to Consumer) markets. It is not a coincidence that iHealth and eDevice are both in the Global Digital Health 100 of the Journal of mHealth. We will form a fantastic group of companies with a global presence and the opportunity to take the leadership of the booming Connected Care market.”
Mr. Liu, Founder of iHealth and Chairman of Andon Group says,“eDevice is an amazing company and together, we will make a difference in the healthcare world. The Andon Group (through iHealth) already has a strong presence in Europe, in the US and in China. We are now in a position to take the market leadership globally. Marc and Stephane will continue to lead eDevice, together with the current eDevice management team, and will have a strategic advisory position in the Andon Group.”
Founded in 2000 in Bordeaux France, eDevice pioneered the telehealth connectivity space providing communication solutions consisting of bespoke hardware, software, and network services, to securely and safely transfer patient data, with hundreds of thousands of patients of large Medtech companies and healthcare organizations currently connected, and more than 3 million products embedding eDevice’s technology in the field to date.
Dedicated to quality, eDevice is ISO-9001 and ISO-13485 certified for design, production, marketing of modems and communicating equipment, and provision of global network telecommunication and data transmission services.
eDevice is an active contributor for the standardization of the industry. Through partnership with technology leaders, the company brings innovative connectivity solutions to medical device manufacturers. eDevice’s team of experts enables the company to continue steady and profitable growth.
During the last few months, eDevice has won the “Grand Prix des Entreprises de croissance” of the Leaders League as a recognition of its 100%+ annual growth over the last couple of years, has been declared “Champion de l’Exportation” by the business magazine l’Expansion as an acknowledgement of its 99.8% record export rate, and has been identified as one of the most profitable French SMEs by the magazine Manageo. With growth, exports all over the world and profitability, eDevice will continue to expand its model in the US but also in Europe and Asia.
iHealth, founded in 2010, from Mountain View California, and with offices in France and China, is dedicated to helping people lead healthier lives.Its goal is to make it as easy as possible for individuals of all ages to take a more active role in managing their health. It does this by designing and manufacturing innovative, consumer-friendly, mobile personal healthcare products that connect to the cloud. Its products are easy-to-use, making it simple for consumers to accurately measure, track and share a full range of health vitals. By automatically connecting the data through the cloud, consumers are able to see a more comprehensive view of their vitals and easily share information with healthcare professionals or loved ones. Its award-winning line of products include blood pressure monitors, blood glucose monitors, body analysis scales, pulse oximeters and activity and sleep trackers. All of its products sync directly with a free mobile app that makes monitoring, viewing, storing and sharing of health vitals simple and comprehensive.
About Andon Group
Andon Group, founded in 1995 and publicly traded on the Shenzhen Stock Exchange has its headquarters in Tianjin, China. Andon designs and manufactures products for its OEM and ODM customers that make it simple to measure, manage and share health information.
Andon’s production and development team is 100% focused on delivering OEM and ODM solutions for some of the largest brands in the world. Its factory in Tianjin employs 1500 workers with 120 dedicated R&D engineers that are focused on ﬁnding new and innovative solutions.
Andon‘s factories are certified according to the stringent ISO 9001, ISO 13485, and CMDCAS quality management systems and its blood pressure monitors are validated against the exacting standards of the BHS (British Hypertension Society), the ESH (European Society of Hypertension) and are approved for sale in the EU and by the FDA.
The transaction is assisted by several professional teams of financial and legal advisors.
On the Andon side, legal counsels, Mr. Philippe Reybaud and Mr. Wyssam Mansour from CGR Legal, Mr. Chen Fu An, Mrs. Lou Jia Li from King & Wood Mallesons, Mr. Dai Ming Chuan and Mr. Dong Qi from Essence Securities and Accounting auditors from DAHUA-CPA
On the eDevice side Mr. Ariel Harroch and Mrs. Judith Raoul-Bardy from Gibson, Dunn & Crutcher LLP, Mr. Eric Hamou, Mr. François Prioux, Mr. Vincent Beguin and Mrs. Sarah Masson from DC Advisory, and Ernst & Young.
Forward Looking Statements
This document contains forward looking statements related to the transaction and business combination between Andon and eDevice, including statements regarding the benefits of the transaction as well as statements regarding the companies’ products and markets. Forward looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this document, including the following: expected synergies and other financial benefits of the transaction may not be realized; integration of the acquisition post-closing may not occur as anticipated; litigation related to the transaction or limitations or restrictions imposed by regulatory authorities may delay or negatively impact the transaction; unanticipated restructuring costs may be incurred or undisclosed liabilities assumed; attempts to retain key personnel and customers may not succeed; the business combination or the combined company’s products may not be supported by third parties; actions by competitors may negatively impact results; and, there may be negative changes in general economic conditions in the regions or the industries in which Andon and eDevice operate. In addition, please refer to the documents that Andon filed with the Shenzhen Stock Exchange. These filings identify and address other important risks and uncertainties that could cause events and results to differ materially from those contained in the forward-looking statements set forth in this document. Readers are cautioned not to put undue reliance on forward-looking statements, and Andon and eDevice assume no obligation and do not intend to update these forward-looking statements, whether as a result of new information, future events or otherwise.