ResMed hunting for new CEO

ResMed (ASX:RMD) is undergoing a search for a new CEO to replace Dr Peter Farrell when he steps down next year.

The California-headquartered dual-listed company has asked Farrell, a ResMed founder and Australian citizen, to stay on as CEO until the end of calendar 2013.

Farrell has been chairman of the respiratory device company since its founding in 1989, and CEO for all but four years of ResMed's history. His most recent term commenced in February 2011.

In the lead-up to Farrell stepping down as CEO, the ResMed board is evaluating potential internal replacement candidates, the company announced.

After a suitable number are identified, they will be measured up against possible external CEO candidates, and the company expects to complete the selection process in time for Farrell's departure.

ResMed has also revealed plans to begin paying a quarterly dividend of US$0.17 per share, starting with the quarter ending in September.

Australian investors will receive the equivalent amount in Australian dollars for every 10 CDIs they hold – every 10 ResMed CDIs listed on the ASX translate to one normal share.

ResMed specialises in devices to treat sleep disordered breathing. It was first established to commercialise a device to treat obstructive sleep apnea, which was developed by researchers at the University of Sydney.

In April, the company posted a record US$64.6 million ($65.1 million) net profit, as a result of strong demand for its products in the Americas.

ResMed (ASX:RMD) shares were trading 0.3% higher at $3.300 as of around 1pm on Friday.