Compumedics Ltd. and Meinian Onehealth Healthcare Holdings Co. Ltd. plan to form a joint venture to commercialize the Somfit sleep tracker in China.
Compumedics' Somfit is a mobile wearable system and platform that monitors sleep activity.
Meinian Onehealth, a Shanghai-based healthcare provider also known as Health 100, will make an upfront payment of A$11.3 million to Compumedics. Of this, A$8.0 million will go to Compumedics while A$3.3 million will remain in the JV.
Australian medical device maker Compumedics will own about 49% of the JV, while Health 100 will hold the remaining 51%.
Health 100 will buy an initial 1 million Somfit devices from the JV over two years after the device receives approval from the China Food and Drug Administration, with expectations of at least A$133 million in revenue over the period.
