Kodeon, a Toronto company that buys and runs consumer mobile apps, has acquired Breethe, a Montreal mental wellness app for sleep, anxiety and meditation. BetaKit reported the deal on 19 August 2026; it had closed earlier in the month. Breethe is Kodeon's fourth acquisition and its largest to date.
Neither side disclosed the price. Kodeon paid mostly in cash, with the rest in Kodeon stock, and Breethe co-founder Garner Bornstein told BetaKit the price was in the eight-figure range, meaning at least $10 million. According to Bornstein, Breethe's founders asked Kodeon to raise the share of the payment made in equity because they believed in its plans.
Bornstein said Breethe picked Kodeon partly because it intended to "maintain the spirit of the brand." Kodeon plans to move Breethe onto its AI-based operating platform and add better analytics, shared services and cross-promotion with its other apps.
What Breethe built
Breethe was founded in 2015 by Garner Bornstein, Pierre Le Lann, Lynne Goldberg and Laurence Ardouin, a team that had built and sold technology companies before and shared an interest in meditation. The app offers guided meditations and programs aimed at sleep, stress and anxiety.
According to BetaKit, Breethe has served more than 18 million people worldwide and has generated more than $50 million in total revenue over its life. It is profitable, and it holds ratings of 4.6 stars on Google Play and 4.7 stars on Apple's App Store.
Kodeon co-founder Jon Walsh pointed to those figures when explaining the deal. "It's an excellent product, as you can see from the stats," he told BetaKit, adding that Breethe was "a bullseye in terms of the category" Kodeon wants to build in. BetaKit did not report how many people work at Breethe or whether its founders will stay on after the sale.
“For us, it was really a bullseye in terms of the category.”
A long road to a sale
Breethe never raised equity financing. It funded its growth from its own revenue and some debt. Bornstein told BetaKit that the company came close to selling to an undisclosed public company about five years ago, but the COVID-19 pandemic derailed that deal. Breethe ran another sale process last year, which ended with Kodeon.
The founders' decision to take part of the price in Kodeon shares means they keep an interest in how the buyer performs. Bornstein described the experience of building the company as very rewarding.
Who Kodeon is
Kodeon was launched in late 2023 by co-founders Jon Walsh and Trevor Fencott, with Ben Huxley as chief operating officer. It buys apps in what it calls the life-improvement category and uses agentic AI to automate onboarding, customer service, operations and software development across its portfolio, which it says now spans more than 30 apps for iPhone and Android.
The model is to buy apps that already have loyal users and steady revenue, then cut the cost of running them by handing routine work to AI systems shared across the portfolio. Breethe, with its long operating history and profits, fits the profile of the apps Kodeon says it looks for.
Its earlier acquisitions include Fitness Buddy, HealthView and Memorado. Kodeon says it is profitable, with operating margins above 30 percent, and that its annual revenue is approaching eight figures.
Kodeon has raised $8.75 million: $5.5 million in equity from undisclosed Canadian family offices and individuals in the United States, and $3.25 million in debt from an unnamed Canadian lender.
More deals planned
Kodeon said it intends to keep buying profitable life-improvement apps with strong product-market fit and long operating histories. It is open to bootstrapped and venture-backed companies and to buying either part or all of a business.
The company plans to pay for future deals with cash on hand, new equity and debt, and it is considering a Series A round later in 2026.
