ResMed to Sell Software Business for $490 Million
ResMed announced on Tuesday that it will sell its software division, MatrixCare, to private equity firm Frazier Healthcare Partners for $490 million in cash. This move allows ResMed to concentrate more on its core areas of sleep, breathing, and home healthcare.
The company, known for its devices that treat sleep apnea, plans to use the funds from this sale to enhance shareholder returns, including through a quicker share repurchase program, as well as for general business needs.
The deal includes MatrixCare and its related software services, which have been sold under brands like Healthcare First, Citus, and various home health and hospice solutions. However, it will not involve ResMed’s Brightree business in the U.S. or its MEDIFOX DAN operations in Germany.
MatrixCare currently serves over 15,000 providers in sectors such as skilled nursing, senior living, long-term care, home health, and hospice markets. In the fiscal year 2026, MatrixCare reported around $220 million in revenue and roughly $55 million in adjusted operating profit.
According to ResMed, selling this business aligns with its strategy for 2030, focusing on growth opportunities in sleep health, breathing health, and connected home-based care.
ResMed also mentioned that transition service agreements with Frazier will help maintain operations and minimize extra costs in the year following the transaction. The sale is expected to finalize in the first quarter of ResMed’s fiscal year 2027.
Additionally, ResMed’s recent acquisition of Noctrix is predicted to bring in about $30 million in revenue for fiscal 2027, although it may lower adjusted profit per share by approximately 20 cents.
