Originally Published by HME News on May 12 2017
YARMOUTH, Maine – Teijin Limited’s recent announcement that it was exiting the U.S. homecare market is a textbook example of the cooling off of a once red-hot market, say industry analysts.
“We’ve seen these guys coming in and going out like a revolving door,” said Rick Glass, president of Steven Richards & Associates. “The U.S. is such a big market that it looks desirable to these overseas players and then they get in here and find out it’s a little more complicated than that.”
Teijin announced in late April that it was selling Braden Partners—better known as Pacific Pulmonary Services—and Associated Healthcare Systems to PPS HME, an affiliate of Quadrant Management, a New York-based private equity and restructuring firm.
When Teijin acquired Braden Partners, the provider was in growth mode. In 2010, one year after Teijin made the acquisition, it received nearly $46.1 million from Medicare for stationary oxygen concentrators, according to the HME Databank. But by 2015, the latest figures available, that had dwindled to $13.1 million.