Medsphere Acquires Healthcare Relationship Management Platform Marketware

Medsphere Acquires Healthcare Relationship Management Platform Marketware

What You Should Know:

– Medsphere, a provider of affordable clinical IT systems and support services announced it has acqauired healthcare relationship management and analytics company Marketware.


Medsphere Systems Corporation
today announced the acquisition
of Marketware, Inc., a leading
developer of robust software tools focused on managing healthcare relationships
and analyzing a wide variety of data to augment existing competitive advantage.
The Marketware suite supports hospitals and health systems as they face the
numerous challenges that accompany energetic growth. 

Influence Physician & Patient Choice

Marketware’s Physician Strategy Suite includes a physician
relationship management platform that combines provider profiles, business
intelligence, and project management in support of provider outreach and
relationship development. The Suite’s physician referral analytics use EHR and claims data to
identify patient pipelines that are poised for growth, while healthcare
analytics evaluate the strength of a physician’s referral base and identify
connections both inside and outside their network. Marketware’s web-based
platform also supports physician recruitment and onboarding efforts to help
source, qualify, and retain the best providers.

“Medsphere’s growth in recent years demonstrates a broad commitment to improving both the provision and business of healthcare,” said Marketware CEO Alex Obbard. “We’re excited to be a part of that. The reality is that healthcare needs to manage every dollar it can as system reform marches on, and we’ve proven that Marketware solutions and services deliver clear, demonstrable value and ROI to healthcare. The future we’re creating together is one of cutting-edge medicine supported by comprehensive executive knowledge of what works financially, empowering hospitals and health systems to do more of what they do well.”

Medsphere’s Recent Acquisitions

The acquisition of Marketware is only Medsphere’s most
recent move to enhance core healthcare IT
solutions and services. Last year Medsphere acquired Micro-Office Systems, a
developer of integration and migration tools that streamline the functionality
of various platforms and applications. In recent years Medsphere has added
ambulatory healthcare IT solutions provider ChartLogic; award-winning
healthcare IT consulting and outsourcing provider Phoenix Health Systems;
robust revenue cycle management systems developer Stockell Healthcare, which
now operates under the Medsphere banner; the top-rated Wellsoft emergency
department information system; and the flexible and effective HealthLine supply
chain management suite.

Boston Scientific Acquires Preventice Solutions for $925M in Cash

Boston Scientific Acquires Preventice Solutions for $925M in Cash

What You Should Know:

– Boston Scientific announces an agreement to acquire Preventice
Solutions, a leading developer of mobile health solutions and remote monitoring
services that connect patients and caregivers for $925M in cash.

– The acquisition of external cardiac monitoring technologies and services providers will expand Boston Scientific’s rhythm management diagnostics portfolio and capabilities.


Boston
Scientific
today announced that it has acquired
Preventice Solutions, Inc.,
a Minneapolis, MN-based company which offers a full portfolio of mobile cardiac
health solutions and services, ranging from ambulatory cardiac monitors –
including short and long-term Holter monitors – to cardiac event monitors and
mobile cardiac telemetry.

The Preventice product portfolio includes the BodyGuardian®
family of remote, wearable cardiac monitors for adult and pediatric patients.
The monitors use a fully-integrated, cloud-based platform supported by an
independent diagnostic testing facility, where clinical technicians and artificial
intelligence (AI)
algorithms provide insights that may lead to improved
clinical diagnoses and outcomes. Preventice’s integration of AI and human
expertise is designed to enhance physician efficiency and experience.

Financial Details

Under terms of the acquisition, Boston Scientific has agreed
to pay $925M in upfront cash, and up to an additional $300 million in a potential
commercial milestone payment. Boston Scientific has been an investor in
Preventice since 2015 and currently holds an equity stake of approximately 22
percent, which is expected to result in a net payment of approximately $720
million upon closing and a milestone payment of up to approximately $230
million. Preventice recorded net sales of $158 million in 2020 – a 30 percent
growth rate from the previous year.

Acquisition Expands Boston Scientific’s Rhythm Management
Diagnostics Portfolio

“This acquisition will provide Boston Scientific with a foothold in the high-growth ambulatory electrocardiography space, which strongly complements our recent entrance into the implantable cardiac monitor market and will serve as an important component of our category leadership strategy in cardiac diagnostics and services – a nearly $2B market anticipated to grow double digits annually,” said Scott Olson, senior vice president and president, Rhythm Management, Boston Scientific. “We are confident that by adding the broad technology portfolio and expertise of Preventice, our combined teams can continue to deliver rapid growth in these highly-attractive markets while also establishing an important adjacency to our core cardiac rhythm management and electrophysiology businesses.”


HealthStream Acquires Policy Management System ComplyALIGN for $2M

HealthStream Acquires Policy Management System ComplyALIGN for $2M

What You Should Know:

HealthStream, a provider of workforce
and provider solutions for the healthcare industry acquires
ComplyALIGN (incorporated as ProcessDATA,
Ltd.), a Chicago-based healthcare technology company for $2M in cash.


The number of policies and procedures that a typical hospital needs to manage
and continue to process rarely falls below one thousand. Staff members must
know what’s expected of them and have rules and procedures to guide their
day-to-day tasks—and this covers a vast array of practices, including those
involving administrative practices, federal and state compliance, patient care,
medicine, use of IT, and human resources.


With policies in so many areas, policies and procedures for hospitals need to
be well organized, accessible, searchable, and easily updated—all within a
coordinated, collaborative workflow. ComplyALIGN’s policy management system is
a highly sought-after and utilized solution for these needs.


ComplyALIGN’s products are used by over 200 healthcare facilities, including
over 150 hospitals. ComplyALIGN also does business as HospitalPORTAL, which
focuses on hospital intranet solutions that integrate with ComplyALIGN’s policy
management system.

mPulse Mobile Acquires Digital Health Engagement Company The Big Know

mPulse Mobile Acquires Digital Health Engagement Company Big Know

What You Should Know:

mPulse
Mobile
, the leader in conversational AI solutions for the healthcare
industry, will acquire The Big Know, a
prominent digital
health
company transforming how healthcare educates consumers.

– A deeper entrenchment in the streaming age and shifting
consumer expectations demand a shift in the healthcare industry’s approach to
care delivery and experiences. Quality patient engagement must be acknowledged
as a vital and unavoidable part of the healthcare journey.

– The partnership will establish a holistic approach to
digital health engagement with integrated conversational AI and rich
content streaming. It is a major development for the industry that sets a new
standard for quality patient engagement and helps address gaps in how
healthcare organizations educate and activate their members.

– mPulse Mobile solutions excel at reaching and engaging
diverse member and patient populations on their healthcare journey, helping
customers to measurably improve outcomes. The Big Know adds a superior ability
to captivate, educate and activate individuals through award-winning cinematic
content that is proven to sustain deeper relationships. Together, the companies
are on track to power over half a billion digital interactions in 2021.

– “We have a mission to improve health equity and health
outcomes for the populations that we serve. Building on a foundation of
knowledge through demographically appropriate learning strategies will help our
clients and us achieve these goals and reduce health disparities,”
Nicholson continued. “Our combination with The Big Know is a perfect
synergy. Our legacy of engaging with hard-to-reach patient populations combines
with their dedication to health literacy and formative learning experiences to
ensure more educational engagements and greater outcomes.”

Philips Acquires Medical Device Integration Platform Capsule for $635M

Philips Acquires Medical Device Integration Platform Capsule for $635M

What You Should Know:

– Philips announces the acquisition of Capsule, a leading vendor-neutral Medical Device Integration Platform with a software-as-a-service business model

– The Capsule acquisition is a strong fit with Philips’
strategy to transform the delivery of healthcare along the health continuum
with integrated solutions.


Philips, today announced that it has signed an agreement to acquire Capsule Technologies, Inc., an Andover, MA-based provider of medical device integration and data technologies for hospitals and healthcare organizations. Capsule’s Medical Device Information Platform – comprised of device integration, vital signs monitoring, and clinical surveillance services – connects almost all existing medical devices and EMRs in hospitals through a vendor-neutral system. Capsule’s platform captures streaming clinical data and transforms it into actionable information for patient care management to enhance patient outcomes, improve collaboration between care teams, streamline clinical workflows and increase productivity. 

Founded in 1997, Capsule is the leading global provider of medical device integration (MDI) and information solutions for healthcare providers. Capsule maximizes the value of live streaming medical device data by analyzing and synthesizing it across multiple sensors and devices attached to the patient to advance insight-driven, proactive care.

To date,
the company serves over 2,800 hospitals and healthcare organizations in 40
countries across the world. Capsule’s innovations are developed by strong
R&D teams in the U.S. and France. In 2020, the company achieved sales of
over USD 100 million with strong double-digit sales growth. The majority of
sales is related to recurring software-as-a-service and licensing revenues. The
acquisition will be accretive to Philips sales growth and Adjusted EBITA margin
in 2021.


Acquisition Underscores Philips Strategy to Scale Its
Patient Care Management Solutions

The acquisition of Capsule is a strong fit with Philips’
strategy to transform the delivery of care along the health continuum with integrated
solutions. Philips’ current portfolio already includes real-time patient
monitoring, therapeutic devices, telehealth, informatics and interoperability
solutions. The combination of Philips’ industry-leading portfolio with
Capsule’s leading Medical Device Information Platform, connected through
Philips’ secure vendor-neutral cloud-based HealthSuite digital platform, will
greatly enrich and scale Philips’ patient care management solutions for all
care settings in the hospital, as well as remote patient care. As part of the acquisition, Capsule and
its approximately 300 employees will become part of Philips’ Connected Care
segment.

“Integrated patient care management solutions supported by essential real-time patient data and AI are core to our strategy to improve patient outcomes and care provider productivity by seamlessly connecting care,” said Roy Jakobs, Chief Business Leader Connected Care at Royal Philips. “The acquisition of Capsule will further expand our patient care management offering. We look forward to integrating our strengths, adding a vendor-neutral medical device integration platform that further unlocks the power of medical device data to enhance patient monitoring and management, improve collaboration and streamline workflows in the ICU, as well as other care settings in the hospital and beyond its walls.”


Financial
Details

Philips
will acquire Capsule for $635M (approximately EUR 530 million) in cash. The
transaction is subject to certain closing conditions, including regulatory
clearances in relevant jurisdictions outside of the U.S. The transaction is expected to be completed in the first quarter
of 2021.

QGenda Acquires Automated Provider Scheduling Platform Shift Admin – M&A

QGenda acquires Shift Admin – M&A

What You Should Know:

– QGenda has acquired Shift Admin, an industry-recognized
leader for shift-based specialties including emergency medicine, urgent care,
and hospital medicine.

With the industry-leading scheduling technology for all
specialties across the healthcare delivery system, QGenda’s technology will
ensure care is available for patients when and where it is needed.


QGenda, the leading
innovator in enterprise healthcare workforce management solutions, announced
the acquisition
of Shift Admin, an industry-recognized
leader for shift-based specialties including emergency medicine, urgent care,
and hospital medicine. With the industry-leading scheduling technology for all
specialties across the healthcare delivery system, QGenda’s technology will
serve as the single source of truth for all provider schedules, ensuring care
is available for patients when and where it is needed.

Automated Provider Scheduling for All Specialties

Founded in 2007, Shift Admin offers Automated Schedule
Generation that can generate optimized schedules based on fully customizable
rules and user’s requests. The Shift Admin schedule generator contains a
world-class scheduling algorithm and features a simple but powerful user
interface. Our system is flexible enough to handle even the most complicated
schedules.

Acquisition Enables Greater Access to Data Insights for
Providers

The announcement furthers QGenda’s commitment to advancing
how healthcare organizations manage and schedule their workforce so they can
effectively use providers’ time, reduce burnout and optimize capacity. By
scheduling for all providers and specialties through QGenda, organizations have
greater access to data, details, and insights for thousands of providers
working across the system.

“With care needs fluctuating across states and even within the same area, transparency and flexibility continue to be a large need for healthcare organizations nationwide. QGenda, with the addition of Shift Admin’s shift-based provider scheduling capabilities, is helping healthcare organizations address these priorities. We are partnering with customers to deliver greater visibility into where and when providers are working and optimizing capacity to deliver quality, cohesive care across the entire organization,” stated Greg Benoit, CEO of QGenda.

By adding the leading provider in shift-based scheduling,
QGenda is enhancing capabilities for emergency medicine, hospital medicine, and
urgent care, while building upon its industry-leading scheduling solution for
providers in specialties such as anesthesia, radiology, cardiology, obstetrics
& gynecology, and pathology. The QGenda platform also includes solutions
for on-call scheduling, room management, time tracking, compensation
management, and workforce analytics.


Amalgam Rx Acquires Clinical Decision Support Platform Avhana Health – M&A

Amalgam Rx Acquires Clinical Decision Support Platform Avhana Health

What You Should Know:

– DTx and Patient Support leaders, Amalgam Rx, Inc., announce the acquisition of Avhana Health, a privately-held clinical decision support (CDS) company.


Amalgam Rx, Inc., a Wilmington,
DE-based Digital Therapeutics and Patient Support company, announces the acquisition
of Avhana Health, a privately held
clinical decision support (CDS) company, which has deep integrations with the
leading electronic health records (EHR). As part of the acquisition, Amalgam Rx
will expand Avhana’s CDS tools to multiple therapeutic areas and combine them
with other digital solutions to simplify doctors’ workflows.

Founded in 2014, Avhana Health is a clinical decision
support startup used by doctors to support real-time adoption of and adherence
to clinical quality guidelines. Avhana’s SaaS-based CDS tool has been
implemented in more than 150 provider groups and identifies over $120 million a
year in cost savings. Enabling real-time two-way interactions within the EHR, Avhana optimizes
provider workflow beyond simple data integration.

“EHR integration is the Holy Grail for digital health solutions, but it’s not only about data integration; workflow optimization is even more important. Providers, working at the nexus of digital health adoption and scaling, will only adopt tools that are safe, effective, and embedded in their workflow. The combination of Avhana and Amalgam will bring us closer to realizing digital health’s tremendous potential,” said Ryan Sysko, chief executive officer of Amalgam Rx.

Modernizing Medicine Acquires Orthopedic EHR Platform Exscribe – M&A

Modernizing Medicine Acquires Orthopedic EHR Platform Exscribe – M&A

What You Should Know:

– Modernizing Medicine announced it has acquired
orthopedics EHR vendor Exscribe bringing together two of the healthcare
industry’s leading, all-in-one orthopedic EHR vendors.

– As part of the acquisition, Exscribe Founder and CEO,
Dr. Sachdev and other members of the Exscribe team will be joining Modernizing
Medicine.


Specialty-specific EHR provider Modernizing Medicine announced it has acquired
orthopedics electronic
health records (EHR)
vendor Exscribe.
The acquisition brings together two of the healthcare industry’s leading,
all-in-one orthopedic EHR vendors with a shared mission of increasing practice
efficiency by transforming how healthcare information is created, consumed and
utilized. Modernizing Medicine and Exscribe will work together to accelerate
innovation and bring to market advanced EHR, practice management, and
technology solutions intended to improve physician efficiency, reduce burnout,
and support value-based care.

“Exscribe and Modernizing Medicine have a shared commitment to customer success and improving patient outcomes and we are excited to work together to leverage our combined orthopedics expertise to move the industry forward,” said Dan Cane, CEO of Modernizing Medicine. “Both companies were founded on the belief that the best EHRs are built specialty specific ‘by physicians, for physicians,’ and that product excellence is a direct reflection of the strength of our team. With that, we are excited to welcome the talented individuals at Exscribe to the Modernizing Medicine family and are confident that we can leverage our combined expertise to enhance and grow our solutions to meet the needs of customers of virtually any size and orthopedic specialization.”

Orthopedic Healthcare Solutions

Exscribe was founded in 2000 by nationally-renowned
orthopedic surgeon Ranjan Sachdev, MD, MBA, CHC, who was looking for a better
way to manage his orthopedic practice. Working with a team of orthopedists and
IT professionals, Dr. Sachdev developed the Exscribe Orthopaedic EHR, which today
is among the leading specialty-specific healthcare technology solutions
available. Leveraging machine learning and artificial intelligence, Exscribe’s
EHR is intuitive, enabling orthopedists to use one-click treatment plans for
specific conditions, including orders for surgery and therapy, prescriptions,
patient education, referral letters, and more.

Post-Acquisition Plans

Exscribe Founder and CEO, Dr. Sachdev and other members of
the Exscribe team will be joining Modernizing Medicine, and through the
increased scale and combined expertise, both companies intend to continue
providing world-class technology solutions and support to orthopedic customers.
Modernizing Medicine’s top-rated specialty-specific orthopedic electronic
health records (EHR) system, EMA® Orthopedics, has been named the number one
EHR in orthopedics for three consecutive years by Black Book™.

“Modernizing Medicine is known for its state of the art web based offerings, growing presence in the orthopedics space and commitment to working with customers to build solutions that meet the needs of orthopedists and their office staff,” said Dr. Sachdev. “Existing Exscribe customers will experience very few immediate changes. In the long term, we look forward to leveraging the decades of expertise from both companies to build fully interoperable EHR technologies that solve administrative inefficiencies and promote orthopedic excellence.”

Financial detail of the acquisition were not disclosed.

Itamar Medical Acquires Technology and Assets of Spry Health

Spry Health Clinical-Grade Wearable

What You Should Know:

– Itamar Medical Ltd. acquired the technology and assets
of Spry Health in a move to expand its product offering beyond Sleep Apnea identification.

– Itamar Medical’s acquisition of Spry Health will enable
the company to develop a wearable watch-like remote patient monitoring
solution.


Itamar Medical Ltd.,
a medical device and digital health company focused on the
integration of sleep apnea management into the cardiac patient care pathway,
today announced that it has entered into a definitive agreement to acquire technology and assets of
Palo Alto, CA-based Spry Health for
an undisclosed cash amount. 

FDA-Cleared End-to-End Solution to Enable Improved Remote
Care

Incubated at Stanford-affiliated accelerator StartX in 2013,
founders Pierre-Jean “PJ” Cobut and Elad Ferber started Spry Health with a
mission to help chronically ill patients receive proactive care and help them
stay out of the hospital. Spry Health developed the clinical-grade wearable
Loop to be a catalyst for both better care and lower costs.

Spry’s patented technology is delivered through a watch-like
home-based monitoring medical device called the Loop™ System. The Loop System
is FDA-cleared and based on an extensive set of sensing technologies and
algorithms that contextualize real-time, continuous physiologic data to flag
signs of patient deterioration using bio-markers such as SpO2, respiration
rate, and heart rate. These three signals, combined with Itamar’s core
expertise in the Peripheral Arterial Tonometry (PAT®), form the foundation for
continuous sleep apnea monitoring. Itamar anticipates commencing development of
a new wrist-worn device immediately, with initial market launch timing
anticipated in 2022.

“As we sought opportunities to build on our vision of expanding sleep apnea diagnostics from a single-night test to continuous remote patient monitoring, we identified the technology commercialized by Spry Health as a perfect fit,” said Gilad Glick, President and Chief Executive Officer of Itamar Medical. “The acquisition of their FDA-cleared, wrist-worn technology and the addition of a knowledgeable pool of selected talented engineers, led by Spry co-founder and CTO Elad Ferber, provides an excellent platform for us to jump start our development initiatives to bring to market a continuous sleep apnea monitoring device to further support chronic disease management, particularly as it contributes to the added burden on cardiovascular disease.

In a move to expand its product offering beyond Sleep Apnea
identification, Itamar Medical’s acquisition of Spry Health will enable the
company to develop a wearable watch-like remote patient monitoring solution.
This new, one-of-a-kind solution will allow the company to further support
patients and their doctors, providing doctors with the data needed for ongoing
and effective monitoring and treatment of Sleep Apnea accumulated burden on the
patient heart and vascular systems. This is the first time that doctors will
have access to a tool to help them remotely monitor and manage sleep-related
chronic diseases and patients will have a wearable that will accurately monitor
the effectivity of their treatment.

While finger-based monitoring yields the highest accuracy,
it is currently not suitable for longer-term wear. A device that is designed
for the wrist, while potentially less accurate for precise disease diagnostics,
is more suitable for monitoring the continuous accumulated burden of sleep
apnea and its potential impact on other diseases, such as cardiovascular
conditions, due to its wearability over weeks or months,” added
Glick.  

The total global RPM market in 2019 was estimated to be
approximately $800 million and expected to reach approximately $2 billion in
2027. North America represented the largest share of the global market at approximately
38%, primarily attributed to rising cardiovascular disease

“Sleep apnea is a serious and common respiratory disorder. Recent studies have shown that 50-80% of patients with cardiovascular disease including hypertension, stroke, atrial fibrillation and HF have significant sleep apnea – and patients with uncontrolled sleep apnea are more likely to have worse outcomes including uncontrolled hypertension, refractory afib and higher mortality. Enabling cardiac-based RPM programs in patients with CV disease will almost certainly be a game changer in helping us identify sleep apnea – and its burden – earlier in these patients and lead to better outcomes across the board,” said Dan Bensimhon, MD Medical Director Advanced Heart Failure & Mechanical Circulatory Support at Moses Cone Health.

Shields Health Solutions, ExceleraRx Announce Specialty Pharmacy Merger – M&A

Shields Health Solutions, ExceleraRx Announce Specialty Pharmacy Merger – M&A

What You Should Know:

– Shields Health Solutions and Excelera announce a major
specialty pharmacy merger that will form a combined company that consults with
700+ hospitals in 43 states, including Mass General Brigham, Yale New Haven,
Intermountain Healthcare and Henry Ford.

– The network of hospitals is designed to improve patient
care through an infrastructure that helps with things like acquiring prior
authorization for specialty drugs and staying adherent to them. It can also
lower costs for patients by negotiating lower rates from manufacturers with the
leverage of insights from 1 million+ patients in those hospitals.


Shields Health Solutions (Shields), the leading health
system specialty pharmacy integrator, has joined
forces
with ExceleraRx
Corp. (Excelera), a healthcare company that empowers integrated delivery
networks, health systems, and academic medical centers to provide personalized,
integrated care for patients with complex and chronic conditions focused on
improving patient care. 

Merger Reflects Growing Need for On-Site, Integrated
Specialty Pharmacies

Serving 60+ health systems and academic medical centers, the
combined organization addresses 700+ hospitals that account for the opportunity
of $30B in specialty pharmacy revenue. The use of specialty medications to
treat complex patients – those with multiple, chronic illnesses or rare, hard
to treat diseases that require close monitoring and support – is increasing an
average of 17 percent per year, and health systems across the U.S. have been
building on-site, integrated specialty pharmacies to provide comprehensive,
streamlined care for this growing population to improve outcomes. Since 2015,
the prevalence of health system-owned specialty pharmacies in large hospitals has doubled, with nearly 90 percent of large
hospitals operating a specialty pharmacy in 2019.

“On-site, integrated specialty pharmacy is the future
of complex patient care and we look forward to combining forces with Excelera
to make our impact even greater. As we have shown, this model materially
improves clinical outcomes for patients and reduces total medical expenses for
covered patients,” said Lee Cooper, CEO, Shields. “Together, our
network of more than 60 of the country’s top health systems, representing
nearly 30% of non-profit healthcare systems based on net patient service revenues,
creates an unparalleled industry-first that will enable unprecedented best
practice sharing and ultimately lead to improved outcomes for complex
patients.”

Benefits of On-Site, Integrated Specialty Pharmacies for
Health Systems

Shields and Excelera offer programs for health systems to
build, operationalize and optimize integrated specialty pharmacies, as well as
help manufacturers and payors access critical patient and drug performance
insights. With a more personalized, high-touch approach to patient care,
Shields and Excelera have found that hospital-owned specialty pharmacies
dramatically simplify medication and care management for patients and can:

– Reduce medication co-payments from hundreds, sometimes
thousands of dollars, to an average co-pay of $10

– Streamline time-to-therapy, typically from several weeks
to an average of two days

– Decrease physician administrative paperwork by thousands
of hours

– Improve medication adherence rates to over 90 percent, on
average.

Financial details of the acquisition were not disclosed.

Central Logic Acquires Acuity Link for Intelligent Transport Capabilities – M&A

Central Logic Acquires Acuity Link for Intelligent Transport Capabilities – M&A

What You Should Know:

– Central Logic acquires Acuity Link to power the company’s
Intelligent Transport capabilities, speeding time to care in the best setting.

– In addition, the company rolls out a new interoperable Bed Visibility capability that offers a real-time snapshot into available beds across the enterprise for improved access and enhanced revenue capture.


Central
Logic
, a St. Paul, MN-based healthcare access and orchestration company,
has acquired Acuity Link, a leading
provider of transportation communications and logistics management software.
Acuity Link’s technology powers Central Logic’s new Intelligent Transport capability, which was announced
today along with the company’s real-time Bed Visibility platform.

The addition of Intelligent Transport and Bed Visibility to
Central Logic’s industry-leading platform solidifies the company’s leadership
in healthcare access and orchestration, by providing best-in-class technology
tools focused on elevating health system operations that support greater
clinician effectiveness, better outcomes and increased revenue capture.

“This strategic acquisition—which follows our recent acquisition of Ensocare—further demonstrates that Central Logic delivers the most comprehensive access and orchestration solution and services in the industry, with a focus on enabling health systems to ‘operate as one’ by providing innovative technologies that bring disparate processes, information and locations together,” said Angie Franks, CEO of Central Logic.

Acquisition Automates the Transport Request and Tracking Process 

Transportation coordination related to patient transfers and
other transitions of care is still a highly manual, inefficient process at many
health systems. Health system access center agents, who manage patient
transfers, discharges and other transitions of care, often need to call multiple
transportation companies and must record key milestones manually.

Central Logic recognized this challenge facing its health
system clients and sought to address it by forming a strategic relationship
with Acuity Link in 2019 to co-develop the Intelligent Transport coordination
and communication tool.

“The acquisition of Acuity Link advances our focus on holistically addressing our clients’ strategic business goals around revenue capture, care delivery, and the infrastructure required to excel in both value-based care and fee-for-service environments,” Franks said. “This is one more validation of our commitment to meeting the full access and orchestration vision of the health systems with whom we partner.”

Intelligent Transport is a vendor-agnostic solution that
automatically considers all types of patient transportation modes, acuity
levels, healthcare settings and even the health system’s contracting
obligations. Intelligent Transport’s proprietary algorithms suggest the most
efficient, clinically appropriate and cost-effective means of transport—from
aircraft to ride-share—and arranges transportation in just seconds. In many
cases, patients are delivered to the care setting 75% faster than through
manual workflows.

This faster end-to-end transport process decreases bed cycle
times and expedites bed availability with timely transport to, from and between
sites of care. Intelligent Transport’s algorithms ensure contract compliance,
with access center agents easily able to adhere to the health system’s policies
around vendor rights and obligations.

Intelligent Transport also offers real-time geo-tracking of
transport status so access centers always know where the patient is in their
journey and can work proactively with all pertinent information at their
fingertips.

Bed Visibility Offers Real-Time, Enterprise-Wide
Perspective

Central Logic’s new Bed Visibility capability addresses
another critical component of successful patient transfers and transitions of
care: The ability to know quickly and easily where the right type of bed,
specialist care and other important resources are available within the health
system, so patients can receive the level of care they need more quickly.

Central Logic’s Bed Visibility solution retrieves
information seamlessly within the platform and displays all necessary data
points—including average wait times, emergency department pre-admits, and
availability by service line and facility—in a single, easy-to-understand view.

Without Bed Visibility, the health system’s EHR or bed
management tools require agents in access centers to open various applications
and click through multiple screens to view the information—wasting precious
time that can affect clinical outcomes. Further, the inefficiency and waiting
that often occur can be frustrating, and the failure to quickly identify an
appropriate bed is a leading cause of patient leakage to competitors.

With automated, real-time visibility into that information
via Bed Visibility, a hospital’s access center can increase satisfaction—and
future referrals—from referring providers, while also decreasing leakage and
improving keepage.

“Bed Visibility, when supported by our full platform, can help health systems realize an improved patient census, especially within their specialty centers such as those focused on heart and vascular, neurology or orthopedics,” Franks said. “Every patient that is successfully referred, transferred and admitted brings an average of nearly $11,000 in revenue to the health system, which could result in millions of dollars annually to the bottom line with just 100 additional transfers per month, for a total of 1200 per year.”


Net Health Acquires Post-Acute Analytics Platform PointRight – M&A

Net Health Acquires Post-Acute Analytics Platform PointRight – M&A

What You Should Know:

–  Net Health acquires post-acute market analytics platform PointRight to deepen the company’s analytics capabilities, post-acute presence, and support for SNF networks.


Net
Health
, a provider of cloud-based software for specialty medical providers
across the continuum of care, today announced that it has acquired
PointRight Inc., a leading provider of
analytics and data-driven tools for the post-acute market. The acquisition adds
to Net Health’s expanding investments in analytics capabilities, which include
the recent acquisition of Tissue Analytics in April 2020 and the earlier
acquisition of Focus on Therapeutic Outcomes (FOTO).

Unlock the Power of Advanced Analytics for Post-Acute
Performance

Founded in 1995, PointRight provides analytics that shows a 360⁰ view of long-term and post-acute (LTPAC) facility performance and clinical outcomes. Equipped with these insights, LTPAC Provider and Payers can lower rehospitalization rates, improve clinical outcomes, and build and manage high-performing networks. Today, close to 2,400 SNFs use PointRight’s advanced analytics and data-driven decision support tools to further their clinical, financial, and operational objectives. 

SNFs use PointRight to improve the accuracy of their reimbursement and regulatory submissions and to enhance overall performance in readmissions, quality, and outcomes, including more accurate and compliant patient assessments, reduced rehospitalization rates, and optimized care transitions.

 More recently, health systems, ACOs, payers, and real estate investment trusts (REIT) have relied on PointRight to provide insight into the health of their SNF networks and to identify areas for improvement.

Acquisition Expands Net Health’s
Market Share in Growing Post-Acute Market

The
acquisition of PointRight expands Net Health’s position and scale in the
growing post-acute market. Additionally, the acquisition will enable Net
Health’s broad roster of hospital clients to better manage their skilled
nursing facility (SNF) networks and support outcomes measurement and performance
improvement in Medicare Advantage and managed Medicaid programs. As part of the
acquisition, Net Health
plans to fully integrate PointRight staff to accelerate the delivery of new
analytics solutions and expand the availability of PointRight to Net Health’s
customers and markets. 

“Through PointRight, Net Health will significantly expand how we support SNFs and their health system, accountable care organization (ACO), payer and REIT partners,” said Josh Pickus, Net Health’s Chief Executive Officer. “It also strengthens our growing analytics capabilities by providing insights into post-acute performance, which enables providers and payers to align around value-based care initiatives.”

Financial details of the acquisition
were not disclosed.

Komodo Health Acquires Cloud-Based Life Sciences Platform NEVIS- M&A

Komodo Health Acquires Cloud-Based Life Sciences Platform Nevis

What You Should Know:

– Komodo Health announces the acquisition of Nevis, a cloud-based platform for life sciences to expand its software capabilities.

– The acquisition of NEVIS offers customers a cloud-based
platform with a suite of software that ends reliance on fragmented data
and expensive single-point solutions.


Komodo Health today announced its acquisition of NEVIS, a leader in cloud-based technology solutions for the life sciences. The acquisition will enable Komodo Health to expand its cloud-based platform with a suite of software and applications that will help life sciences companies seamlessly integrate critical insights and data into their enterprise workflow applications. Financial terms of the deal were not disclosed.

NEVIS sells patient and medical software products and
provides deep industry expertise at more than 60 life sciences companies. The
company brings more than 130 industry experts with world-class expertise in
cloud software and technology integration. The acquisition also accelerates
Komodo’s global expansion as Nevis currently operates in the U.S., U.K. and
India.

“We are excited to join forces with Komodo Health to create a next-generation solution for the industry,” said Prasad Kanumury (PK), Founder and CEO of NEVIS. “Together, we will transform the way life sciences companies put life-saving therapies in the hands of patients that need them most, ultimately reducing the burden of disease across the globe. This raises the bar and changes the expectations of the entire healthcare ecosystem.”

Acquisition Creates Data-Driven Enterprise Platform for
Life Sciences

Together, Komodo and NEVIS will expand their software
capabilities, infused with insights from Komodo’s Healthcare Map™ — which
leverages the patient journeys of more than 320 million de-identified
individuals. As the industry shifts toward a patient-centered model, enterprise
healthcare companies can end their reliance on legacy data aggregators and better
connect workflows to the primary objective of meeting the needs of patients.

“This acquisition disrupts the status quo, unlocking a fundamentally different opportunity for life sciences companies to access differentiated insights,” said Arif Nathoo, MD, CEO and co-founder of Komodo Health. “Purchasing fragmented and costly data assets, custom solutions and expensive consulting projects will be a thing of the past as Komodo Health delivers a seamless, data-driven platform across R&D, Commercial, Medical Affairs and Patient workflows.”

M&A: TigerConnect Acquires Hospital Middleware Solution Critical Alert

M&A: TigerConnect Acquires Hospital Middleware Solution Critical Alert

What You Should Know:

– TigerConnect has announced an expansion in their suite
through the acquisition of Critical Alert, a leading provider of
enterprise-grade middleware for hospitals and health systems.

– For the hundreds of thousands of nurses that currently
use TigerConnect, these new capabilities will deliver real-time, contextual
information to their mobile device or desktop to allow them to work smarter,
prioritize responses, and efficiently coordinate care, all within the same
reliable TigerConnect platform they use every day for enterprise messaging.


 TigerConnect®,
a care team collaboration solution, today announced the acquisition
of Critical Alert, a Jacksonville,
FL-based leading provider of enterprise-grade middleware for hospitals and
health systems. Critical Alert’s product suite consists of a middleware suite
of products as well as traditional nurse call hardware servicing over 200
hospitals in North America. Financial details of the acquisition were not
disclosed.

Real-Time Care Team Collaboration for Hospitals

Founded in 1983, Cloud-native and mobile-first, Critical
Alert’s middleware solution enables any health system to combine nurse call,
alarm and event management, medical device interoperability, and clinical
workflow analytics.  TigerConnect will integrate Critical
Alert’s middleware stack into its platform to power a wide range of alert types
and alarm management enhancements for TigerConnect’s customers. Critical
Alert’s Nurse Call hardware business will continue to operate under its
namesake as a standalone business unit.  

When combined with Critical Alert’s middleware, TigerConnect dramatically
enhances the value proposition to nursing, IT leadership, and end-users. This ‘dream
suite’ of capabilities comes at a time when nurse burnout is at a record high
and chronic nurse shortages are severely challenging organizations’ ability to
deliver the best quality care.

“We see the Critical Alert acquisition as highly strategic and
a natural evolution of our already-robust collaboration
platform,” said Brad Brooks, CEO and co-founder of TigerConnect. “For the
hundreds of thousands of nurses that currently use TigerConnect, these new
capabilities will deliver real-time, contextual information to their mobile
device or desktop to allow them to work smarter, prioritize responses, and
efficiently coordinate care, all within the same reliable TigerConnect platform
they use every day for enterprise messaging.”

Post-Acquisition Plans

Joining TigerConnect is Critical Alert CEO John
Elms, who will assume the role as TigerConnect Chief Product Officer,
guiding the integration of the two companies’ technologies and leading the
development of all future product offerings. Wil Lukens, currently VP of Sales
for Critical Alert, will assume the role of General Manager of Critical Alert’s
traditional Nurse Call hardware unit. 

“The timing of the deal and the fit of these two companies aligned perfectly,” said John Elms, CEO of Critical Alert. “Two best-in-class, highly complementary solutions coming together to solve some of the chronic challenges—alarm fatigue, response prioritization, resource optimization—that have driven nurse teams to the brink. Together, these unified technologies will make care professionals’ lives easier, not harder, and I couldn’t be more excited to lead the TigerConnect product organization into this next chapter.”

Critical Alert Integration with TigerConnect Plans

TigerConnect’s robust product suite, which includes care
team collaboration (TigerFlow®), on-call scheduling (TigerSchedule®), virtual
care/telemedicine (TigerTouch®), and now virtualized nurse call and
alerts/alarm management (Critical Alert middleware), will help transform
hospitals and healthcare organizations into the real-time health systems of the
future. 

Hardware-free Middleware Forms the Foundation

With a shared cloud-native approach, Critical Alert’s
advanced middleware seamlessly fuses TigerConnect’s care team
collaboration with alarm management and event notifications. Deep
enterprise-level integrations with hospital systems enable the centralization
of clinical workflow management and real-time analytics. Integrating these
systems will have a sizable impact on customer organizations’ productivity and
patient care.

Next Generation Nurse Call

Critical Alert’s nurse call solution brings a modern, badly
needed upgrade to legacy systems, extending both their life and feature-set. A
single mobile- or desktop-enabled user-interface brings vital contextual
information about requests while allowing for centralized answering of nurse
call alerts and management of workflows and assignments. These streamlined
workflows reduce noise and clinical interruptions while improving
responsiveness.

Physiological Monitoring – Less Noise, More Signal

The FDA-cleared offering intelligently routes context-rich
alarm notifications from clinical systems to TigerFlow+. An easy-to-use
workflow builder ensures alerts are prioritized accordingly and are routed to
the appropriate caregiver, suppressing unnecessary noise. The filtering,
mobilization, and escalation of alerts pairs with TigerConnect Teams,
allowing for prompt responses in critical situations.

Smart Bed Alarms for Enhanced Patient Safety

Integrations with popular smart bed systems provide remote
monitoring of bed status details, informing nurses whether they should walk or
run to a patient’s room. Staff can review and adjust bed compliance settings
from their mobile device and receive fall prevention notifications if safe-bed
configuration is compromised.

Real-time Location System (RTLS) Measures What Matters

The integration of RTLS with a deployed nurse call
application greatly enhances the data available to clinical leadership. The
combined TigerConnect/Critical Alert offering enables real-time tracking
of staff location (presence) and time spent on tasks, providing deeper insights
into resource planning, workflow effectiveness and ongoing process improvement
initiatives.

Advanced Analytics for Deeper Workflow Insights

A better understanding of patient behavior and workflows
helps reveal areas for optimization that can lead to improved patient care and
staff efficacy. The new combined platform capabilities centralize the
collection and tracking of patient event data and nurse task efficiency,
turning insights into action. Advanced analytics also allow for identifying,
documenting, and benchmarking responsiveness, compliance, resource allocation,
and patient throughput across the health system. 

Availability

This new integrated functionality is expected to be
available to TigerConnect customers in Q1 of 2021.

UnitedHealth Group Acquires Change Healthcare to Combine with OptumInsight for $13B

Change Healthcare Acquires Credentialing Tech Docufill to Improve Administrative Efficiency

What You Should Know:

– UnitedHealth Group has reached an agreement to acquire
Change Healthcare in a deal valued at more than $13 billion, marking the first
major acquisition of 2021.

– Change Healthcare will be combined with OptumInsight to
advance a more modern, information, and technology-enabled healthcare platform.


UnitedHealth Group’s
has reached an agreement to acquire
healthcare technology leader Change
Healthcare
for more than $13B. As part of the acquisition, Change
Healthcare will be combined with OptumInsight
to provide software and data analytics, technology-enabled services and
research, advisory and revenue cycle management offerings to help make health
care work better for everyone. The acquisition marks one of the largest deals
for UnitedHealth Group as it continues to expand it’s health services under the
Optum division.

Financial Details of Acquisition

UnitedHealth will pay $25.75 a share in cash, the companies said in a joint statement, a 41% premium over Change Healthcare’s closing price Tuesday of $18.24. The $13 billion valuation includes more than $5 billion in debt owed by Change Healthcare. Shares of Change Healthcare were up 31.72% at $24.02 in trading on Wednesday. UnitedHealth shares were up 0.6% at $346.67.

“Together we will help streamline and inform the vital
clinical, administrative and payment processes on which health care providers
and payers depend to serve patients,” said Andrew Witty, President of
UnitedHealth Group and CEO of Optum. “We’re thrilled to welcome Change
Healthcare’s highly skilled team to create a better future for health care.”

Acquisition Impact for Providers and Patients

The combination of OptumInsight and Change Healthcare is expected to simplify services around medical care to improve health outcomes and lower costs

– help clinicians make the most informed and clinically
advanced patient care decisions, more quickly and easily. Change Healthcare
brings widely adopted technology for integrating evidence-based clinical
criteria directly into the clinician’s workflow, while Optum’s clinical
analytics expertise and Individual Health Record can strengthen the evidence
base needed to deliver effective clinical decision support at the point of
care. This can ensure appropriate sites of care and consistently achieve the
best possible health, quality and cost outcomes.

– well-positioned to make health care simpler, more efficient and more effective. A key opportunity is to enhance with insights drawn from billions of claims transactions using Change Healthcare’s intelligent health care network, combined with Optum’s advanced data analytics. This will support significantly faster, more informed and accurate services and processing.

– Change Healthcare’s payment capacities combined with
Optum’s highly automated payment network will simplify financial interactions
among care providers, payers and consumers and accelerate the movement to a
more modern, real-time and transparent payment system. This will ensure
physicians get paid more quickly, accurately and reliably, and provide
consumers the same simplicity and convenience managing their health care
finances they experience with other transactions.

“This opportunity is about advancing connectivity and accelerating innovations and efficiencies essential to a simpler, more intelligent and adaptive health system. We share with Optum a common mission and values and importantly, a sense of urgency to provide our customers and those they serve with the more robust capacities this union makes possible,” said Neil de Crescenzo, President and CEO of Change Healthcare.  Upon closing, Mr. de Crescenzo will serve as OptumInsight’s chief executive officer, leading the combined organization.

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Teladoc Health and Livongo Merge

2020’s Top 20 Digital Health M&A Deals Totaled $50B

The combination of Teladoc Health and Livongo creates a
global leader in consumer-centered virtual care. The combined company is
positioned to execute quantified opportunities to drive revenue synergies of
$100 million by the end of the second year following the close, reaching $500
million on a run-rate basis by 2025.

Price: $18.5B in value based on each share of Livongo
will be exchanged for 0.5920x shares of Teladoc Health plus cash consideration
of $11.33 for each Livongo share.


Siemens Healthineers Acquires Varian Medical

2020’s Top 20 Digital Health M&A Deals Totaled $50B

On August 2nd, Siemens Healthineers acquired
Varian Medical for $16.4B, with the deal expected to close in 2021. Varian is a
global specialist in the field of cancer care, providing solutions especially
in radiation oncology and related software, including technologies such as
artificial intelligence, machine learning and data analysis. In fiscal year 2019,
the company generated $3.2 billion in revenues with an adjusted operating
margin of about 17%. The company currently has about 10,000 employees
worldwide.

Price: $16.4 billion in an all-cash transaction.


Gainwell to Acquire HMS for $3.4B in Cash

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Veritas Capital (“Veritas”)-backed Gainwell Technologies (“Gainwell”),
a leading provider of solutions that are vital to the administration and
operations of health and human services programs, today announced that they
have entered into a definitive agreement whereby Gainwell will acquire HMS, a technology, analytics and engagement
solutions provider helping organizations reduce costs and improve health
outcomes.

Price: $3.4 billion in cash.


Philips Acquires Remote Cardiac Monitoring BioTelemetry for $2.8B

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Philips acquires BioTelemetry, a U.S. provider of remote
cardiac diagnostics and monitoring for $72.00 per share for an implied
enterprise value of $2.8 billion (approx. EUR 2.3 billion). With $439M in
revenue in 2019, BioTelemetry annually monitors over 1 million cardiac patients
remotely; its portfolio includes wearable heart monitors, AI-based data
analytics, and services.

Price: $2.8B ($72 per share), to be paid in cash upon
completion.


Hims & Hers Merges with Oaktree Acquisition Corp to Go Public on NYSE

Telehealth company Hims & Hers and Oaktree Acquisition Corp., a special purpose acquisition company (SPAC) merge to go public on the New York Stock Exchange (NYSE) under the symbol “HIMS.” The merger will enable further investment in growth and new product categories that will accelerate Hims & Hers’ plan to become the digital front door to the healthcare system

Price: The business combination values the combined
company at an enterprise value of approximately $1.6 billion and is expected to
deliver up to $280 million of cash to the combined company through the
contribution of up to $205 million of cash.


SPAC Merges with 2 Telehealth Companies to Form Public
Digital Health Company in $1.35B Deal

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Blank check acquisition company GigCapital2 agreed to merge with Cloudbreak Health, LLC, a unified telemedicine and video medical interpretation solutions provider, and UpHealth Holdings, Inc., one of the largest national and international digital healthcare providers to form a combined digital health company. 

Price: The merger deal is worth $1.35 billion, including
debt.


WellSky Acquires CarePort Health from Allscripts for
$1.35B

2020’s Top 20 Digital Health M&A Deals Totaled $50B

WellSky, global health, and community care technology company, announced today that it has entered into a definitive agreement with Allscripts to acquire CarePort Health (“CarePort”), a Boston, MA-based care coordination software company that connects acute and post-acute providers and payers.

Price: $1.35 billion represents a multiple of greater
than 13 times CarePort’s revenue over the trailing 12 months, and approximately
21 times CarePort’s non-GAAP Adjusted EBITDA over the trailing 12 months.


Waystar Acquires Medicare RCM Company eSolutions

2020’s Top 20 Digital Health M&A Deals Totaled $50B

On September 13th, revenue cycle management
provider Waystar acquires eSolutions, a provider of Medicare and Multi-Payer revenue
cycle management, workflow automation, and data analytics tools. The
acquisition creates the first unified healthcare payments platform with both
commercial and government payer connectivity, resulting in greater value for
providers.

Price: $1.3 billion valuation


Radiology Partners Acquires MEDNAX Radiology Solutions

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Radiology Partners (RP), a radiology practice in the U.S., announced a definitive agreement to acquire MEDNAX Radiology Solutions, a division of MEDNAX, Inc. for an enterprise value of approximately $885 million. The acquisition is expected to add more than 800 radiologists to RP’s existing practice of 1,600 radiologists. MEDNAX Radiology Solutions consists of more than 300 onsite radiologists, who primarily serve patients in Connecticut, Florida, Nevada, Tennessee, and Texas, and more than 500 teleradiologists, who serve patients in all 50 states.

Price: $885M


PointClickCare Acquires Collective Medical

2020’s Top 20 Digital Health M&A Deals Totaled $50B

PointClickCare Technologies, a leader in senior care technology with a network of more than 21,000 skilled nursing facilities, senior living communities, and home health agencies, today announced its intent to acquire Collective Medical, a Salt Lake City, a UT-based leading network-enabled platform for real-time cross-continuum care coordination for $650M. Together, PointClickCare and Collective Medical will provide diverse care teams across the continuum of acute, ambulatory, and post-acute care with point-of-care access to deep, real-time patient insights at any stage of a patient’s healthcare journey, enabling better decision making and improved clinical outcomes at a lower cost.

Price: $650M


Teladoc Health Acquires Virtual Care Platform InTouch
Health

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Teladoc Health acquires InTouch Health, the leading provider of enterprise telehealth solutions for hospitals and health systems for $600M. The acquisition establishes Teladoc Health as the only virtual care provider covering the full range of acuity – from critical to chronic to everyday care – through a single solution across all sites of care including home, pharmacy, retail, physician office, ambulance, and more.

Price: $600M consisting of approximately $150 million
in cash and $450 million of Teladoc Health common stock.


AMN Healthcare Acquires VRI Provider Stratus Video

2020’s Top 20 Digital Health M&A Deals Totaled $50B

AMN Healthcare Services, Inc. acquires Stratus Video, a leading provider of video remote language interpretation services for the healthcare industry. The acquisition will help AMN Healthcare expand in the virtual workforce, patient care arena, and quality medical interpretation services delivered through a secure communications platform.

Price: $475M


CarepathRx Acquires Pharmacy Operations of Chartwell from
UPMC

2020’s Top 20 Digital Health M&A Deals Totaled $50B

CarepathRx, a leader in pharmacy and medication management
solutions for vulnerable and chronically ill patients, announced today a
partnership with UPMC’s Chartwell subsidiary that will expand patient access to
innovative specialty pharmacy and home infusion services. Under the $400M
landmark agreement, CarepathRx will acquire the
management services organization responsible for the operational and strategic
management of Chartwell while UPMC becomes a strategic investor in CarepathRx. 

Price: $400M


Cerner to Acquire Health Division of Kantar for $375M in
Cash

Cerner announces it will acquire Kantar Health, a leading
data, analytics, and real-world evidence and commercial research consultancy
serving the life science and health care industry.

This acquisition is expected to allow Cerner’s Learning
Health Network client consortium and health systems with more opportunities to
directly engage with life sciences for funded research studies. The acquisition
is expected to close during the first half of 2021.

Price: $375M


Cerner Sells Off Parts of Healthcare IT Business in
Germany and Spain

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Cerner sells off parts of healthcare IT business in Germany and Spain to Germany company CompuGroup Medical, reflecting the company-wide transformation focused on improved operating efficiencies, enhanced client focus, a refined growth strategy, and a sharpened approach to portfolio management.

Price: EUR 225 million ($247.5M USD)


CompuGroup Medical Acquires eMDs for $240M

2020’s Top 20 Digital Health M&A Deals Totaled $50B

CompuGroup Medical (CGM) acquires eMDs, Inc. (eMDs), a
leading provider of healthcare IT with a focus on doctors’ practices in the US,
reaching an attractive size in the biggest healthcare market worldwide. With
this acquisition, the US subsidiary of CGM significantly broadens its position
and will become the top 4 providers in the market for Ambulatory Information
Systems in the US.

Price: $240M (equal to approx. EUR 203 million)


Change Healthcare Buys Back Pharmacy Network

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Change
Healthcare
 buys
back
 pharmacy unit eRx Network
(“eRx”),
 a leading provider of comprehensive, innovative, and secure
data-driven solutions for pharmacies. eRx generated approximately $67M in
annual revenue for the twelve-month period ended February 29, 2020. The
transaction supports Change Healthcare’s commitment to focus on and invest in
core aspects of the business to fuel long-term growth and advance innovation.

Price: $212.9M plus cash on the balance sheet.


Walmart Acquires Medication Management Platform CareZone

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Walmart acquires CareZone, a San Francisco, CA-based smartphone
service for managing chronic health conditions for reportedly $200M. By
working with a network of pharmacy partners, CareZone’s concierge services
assist consumers in getting their prescription medications organized and
delivered to their doorstep, making pharmacies more accessible to individuals
and families who may be homebound or reside in rural locations.

Price: $200M


Verisk Acquires MSP Compliance Provider Franco Signor

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Verisk, a data
analytics provider, announced today that it has acquired Franco Signor, a Medicare Secondary Payer
(MSP) service provider to America’s largest insurance carriers and employers.
As part of the acquisition, Franco Signor will become part of Verisk’s Claims
Partners business, a leading provider of MSP compliance and other analytic
claim services. Claims Partners and Franco Signor will be combining forces to
provide the single best resource for Medicare compliance. 

Price: $160M


Rubicon Technology Partners Acquires Central Logic

2020’s Top 20 Digital Health M&A Deals Totaled $50B

Private equity firm Rubicon Technology Partners acquires
Central Logic, a provider of patient orchestration and tools to accelerate
access to care for healthcare organizations. Rubicon will be aggressively driving Central Logic’s
growth with additional cash investments into the business, with a focus
on product innovation, sales expansion, delivery and customer support, and
the pursuit of acquisition opportunities.

Price: $110M – $125 million, according to sources


M&A: Philips Acquires Remote Cardiac Monitoring BioTelemetry for $2.8B

M&A: Philips Acquires Remote Cardiac Monitoring Platform BioTelemetry for $2.8B

What You Should Know:

– Philips acquires BioTelemetry, a U.S. provider of
remote cardiac diagnostics and monitoring for $72.00 per share for an implied
enterprise value of $2.8 billion (approx. EUR 2.3 billion).

– With $439M in revenue in 2019, BioTelemetry annually monitors over 1 million cardiac patients remotely; its portfolio includes wearable heart monitors, AI-based data analytics, and services.

– BioTelemetry business is expected to deliver double-digit growth and improve its Adjusted EBITA margin to over 20% by 2025; the acquisition will be sales growth and adjusted EBITA margin accretive for Philips in 2021.


Philips, today
announced it has entered in an agreement to acquire
BioTelemetry, Inc., a U.S.-based provider
of remote cardiac diagnostics and monitoring for $2.8B ($72 per share), to be
paid in cash upon completion.

 USD 72.00 per share, to be paid in cash upon
completion. The board of directors of BioTelemetry has approved the transaction
and recommends the offer to its shareholders. The transaction is expected to be
completed in the first quarter of 2021.


BioTelemetry Background

Founded in 1995, BioTelemetry primarily focuses on the diagnosis and monitoring of heart rhythm disorders, representing 85% of its sales. BioTelemetry’s clinically validated offering includes wearable heart monitors (e.g. a mobile cardiac outpatient telemetry patch and extended Holter monitor) that detect and transmit abnormal heart rhythms wirelessly, AI-based data analytics, and services.

With over 30,000 unique
referring physicians per month, BioTelemetry provides services for over one
million patients per year. Additionally, BioTelemetry has a clinical research
business that provides testing services for clinical trials. The total
addressable market is USD 3+ billion, growing high-single-digits driven by an
increasing prevalence of chronic diseases, and the adoption of remote
monitoring and outcome-oriented models.


Acquisition Strengthens Philips’ Cardiac Care Portfolio

The acquisition of BioTelemetry is a strong fit with Philips’ cardiac care portfolio, and its strategy to transform the delivery of care along the health continuum with integrated solutions. The combination of Philips’ leading patient monitoring position in the hospital with BioTelemetry’s leading cardiac diagnostics and monitoring position outside the hospital, will result in a global leader in patient care management solutions for the hospital and the home for cardiac and other patients. Philips’ current portfolio includes real-time patient monitoring, therapeutic devices, telehealth, and informatics. Moreover, Philips has an advanced and secure cloud-based Philips HealthSuite digital platform optimized for the delivery of healthcare across care settings. Every year, Philips’ integrated solutions monitor around 300 million patients in hospitals, as well as around 10 million sleep and respiratory care patients in their own homes.

“The acquisition of BioTelemetry fits perfectly with our strategy to be a leading provider of patient care management solutions for the hospital and the home,” said Frans van Houten, CEO of Royal Philips. “BioTelemetry’s leadership in the large and fast growing ambulatory cardiac diagnostics and monitoring market complements our leading position in the hospital. Leveraging our collective expertise, we will be in an optimal position to improve patient care across care settings for multiple diseases and medical conditions.”


Post-Acquisition Plans

Upon completion of the transaction, BioTelemetry and its
approximately 1,900 employees will become part of Philips’ Connected Care
business segment. The acquisition is projected to be sales growth and adjusted
EBITA margin accretive for Philips in 2021. Philips targets significant
synergies driven by cross-selling opportunities (especially in the U.S.),
geographical expansion, and portfolio innovation synergies, such as Philips’
Health Suite digital platform. Additionally, Philips will drive operational
performance improvements through its proven productivity programs. The
BioTelemetry business is expected to grow double-digits and to improve its
Adjusted EBITA margin to more than 20% by 2025.


M&A: Kyruus Acquires HealthSparq from Cambia Health Solutions

M&A: Kyruus Acquires HealthSparq from Cambia Health Solutions

What You Should Know:

– Kyruus is acquiring HealthSparq from Cambia Health
Solutions, a family of more than 20 companies working to make healthcare more
economically sustainable and efficient for people and their families.

– HealthSparq is a healthcare guidance and transparency
technology company serving the health plan market.

– With the acquisition, the combined entity now serves
more than 60 health systems and 100 health plan brands nationwide.


Kyruus, the leader in
provider search and scheduling solutions for health systems, today announced it
is acquiring
HealthSparq from Cambia Health Solutions, a family of
more than 20 companies working to make healthcare more economically sustainable
and efficient for people and their families. HealthSparq is a trailblazing
healthcare guidance and transparency technology company serving health plans.

As part of Cambia, HealthSparq has grown to serve more than
80 million health plan members nationwide through its digital solutions. Cambia
will have an ownership stake and a seat on the Kyruus Board of Directors. HealthSparq
will become part of Kyruus, accelerating a groundbreaking platform to connect
payer and provider organizations and enabling people to find and schedule with
the right providers seamlessly across access channels.


Acquisition Will Transform Care Navigation Through Novel
Payer-Provider Collaboration

Healthcare remains incredibly siloed, making it difficult
for people to find and schedule care that meets their unique clinical,
financial, and personal needs. Kyruus’ acquisition of HealthSparq expands the
company’s mission to make healthcare work better for everyone by connecting
people to the care they need, whether they search on a health system website or
health plan website. This will also accelerate payer-provider collaboration to
further streamline patient access and boost provider data accuracy.


Post-Acquisition Plans & Impact

Together, Kyruus and HealthSparq serve more than 60 health
systems and 100 health plan brands nationwide. The companies have already
started working together in select markets to enhance health plan directories
with provider-verified data and enable online scheduling from health plan websites.
Combining operations will accelerate the integration of their platforms,
enabling health plans to link personalized insurance benefit and cost
information with rich provider data, while allowing health systems to tap into
health plan websites as a new patient engagement source. Over time, the unified
platform will facilitate increasingly sophisticated patient routing and
matching across channels – all while giving people the convenience of online
scheduling wherever they look for care.

The HealthSparq team will transition to Kyruus and continue
to execute on HealthSparq’s full breadth of solutions for health plans. Mark
Menton, CEO of HealthSparq, will join the Kyruus executive team and serve as
General Manager of the health plan business unit.


M&A: Cerner to Acquire Health Division of Kantar for $375M in Cash

M&A: Cerner to Acquire Health Division of Kantar for $375M in Cash

What You Should Know:

 – Cerner announces it will acquire Kantar Health, a leading data, analytics, and real-world evidence and commercial research consultancy serving the life science and health care industry.

– This acquisition is expected to allow Cerner’s Learning
Health Network client consortium and health systems with more opportunities to
directly engage with life sciences for funded research studies. The acquisition
is expected to close during the first half of 2021.


Cerner today announced an agreement to acquire Kantar Health, a division of Kantar Group, a leading data, analytics, and real-world evidence and commercial research consultancy serving the life science industry for $375 million in cash, subject to adjustment.

Acquisition Will Create Leading Data Insights and Clinical
Research Platform

With this acquisition, Cerner plans to harness data to improve the safety, efficiency, and efficacy of clinical research across life sciences, pharmaceuticals, and health care at large. This acquisition is expected to allow Cerner’s Learning Health Network client consortium to more directly engage with life sciences for funded research studies.

The Cerner Learning Health Network offers health systems complimentary access to a network of bi-directional, de-identified data resources. This access helps advance research efforts and provides opportunities to generate revenue with funded research studies from life science companies. Kantar Health’s proprietary syndicated data products including CancerMPact, Claritis, National Health & Wellness Survey, and its broader oncology, rare disease, and multi-therapeutic expertise are used today by all of the top 20 life science companies to further their real-world evidence, commercial and clinical research efforts.

The combination of Cerner and Kantar Health is expected to
enable a two-sided collaboration between providers and the pharmaceutical
industry, where researchers can generate insights and use differentiated
real-world data assets and expertise to address the most complex clinical
research questions.

“Cerner launched the Learning Health Network with our provider clients to advance a shared vision: treat global diseases more effectively through an acceleration of clinical research,” said Donald Trigg, president, Cerner. “Kantar Health has incredible health economics and medical affairs expertise, differentiated real-world data assets and strong relationships with the world’s leading life science companies. It offers us an amazing opportunity to drive cross-industry collaboration that can change health outcomes around the world.”

Acquisition Reflects Cerner’s Strategic Focus on Clinical
Research

This is the second announcement in this month expanding upon
Cerner’s commitment to improving the safety and efficiency of clinical research
in life sciences and health care. Last week we announced a relationship with
Elligo which broadens the clinical trial resources available to rural and
community hospitals and physician practices. This is significant to help
broaden the diversity of individuals involved in clinical research, including
those in minority populations and rural communities.

The acquisition is anticipated to close in the first half of 2021, subject to regulatory approval, employee consultations, and other conditions, and is not expected to have a material impact on Cerner’s earnings in 2021.

M&A: HealthStream Acquires myClinicalExchange for $4.5M in Cash

HealthStream Acquires myClinicalExchange for $4.5M in Cash

What You Should Know:

– HealthStream acquires substantially all of the assets
of myClinicalExchange LLC,  for approximately
$4.5 million in cash.

– For the first time, HealthStream’s footprint expands to
include the healthcare workforce before graduation, providing new opportunities
to make the transition-to-practice by medical, nursing, and allied healthcare
students more seamless.


HealthStream, a Nashville,
TN-based provider of workforce and provider solutions for the healthcare
industry, today announced that it has acquired
substantially all of the assets of myClinicalExchange
LLC
, a Denver-based information technologies company. The
myClinicalExchange application has been used by approximately 400 hospitals;
1,000 colleges and universities; and 50,000 medical, nursing, and allied
healthcare students, annually.

Streamlining Clinical Rotation Educational Requirements

Through the acquisition, HealthStream gains
myClinicalExchange’s SaaS application that allows healthcare organizations to
track, manage, and report the intern and clinical rotation educational
requirements of medical, nursing, and allied healthcare students, as well as
host required documentation for medical residents.

Every year in the U.S., medical, nursing, and allied
healthcare students are required to fulfill clinical rotations in a healthcare
organization (primarily hospitals) as part of their educational programs.
Hospitals, in turn, are responsible for managing their requests for rotations,
tracking and ensuring compliance of their rotations, and ensuring that proper
credentials are in place for their working in their organizations with
patients. myClinicalExchange’s ability to streamline these processes for both
the student and the healthcare organization has made it a market-leading
solution for this niche, critical area of workforce management.

Post-Acquisition

Following the acquisition, current customer support for the
myClinicalExchange application will remain in place. Executive oversight of the
myClinicalExchange business will be provided by Trisha Coady, Senior Vice
President & General Manager, Clinical Solutions, HealthStream. The
myClinicalExchange application will be included in HealthStream’s Workforce
Solutions business segment.


M&A: Ro Acquires On-Demand, In-Home Platform Workpath

M&A: Ro Acquires On-Demand, In-Home Platform Workpath

What You Should Know:

– Ro announced it has acquired Workpath, a technology
platform that powers on-demand, in-home healthcare and diagnostics services
nationwide.

– Through this acquisition, Ro’s platform will now
uniquely bring together a patient’s doctor, pharmacy, and
diagnostics/lab–offering a personalized, end-to-end experience with no
insurance required.

– Ro is also announcing a partnership with Quest
Diagnostics, which operates more than 2,200 locations nationwide, to process
its lab tests.


Ro, the healthcare technology company, today announced it has acquired Workpath, a software platform that enables healthcare companies to offer on-demand, in-home care, and diagnostic services with a simple API. The acquisition will enable Ro to seamlessly integrate virtual and in-person care on its own platform and offer these in-home capabilities to other healthcare companies. The ability to send healthcare professionals to, and conduct diagnostic tests in, a patient’s home significantly expands the scope of Ro’s vertically-integrated platform and advances the company’s strategy of becoming a patient’s first call for all of their healthcare needs.

End-to-End In-Home Care Solution

M&A: Ro Acquires On-Demand, In-Home Platform Workpath

Founded in 2015, Workpath is a technology platform that powers on-demand, in-home healthcare services nationwide. Workpath’s API enables healthcare companies to dispatch phlebotomists and other providers to perform services ranging from blood draws to vaccinations, all from the comfort of a patient’s home. The company’s full-service platform includes scheduling and dispatch software, a nationwide network of healthcare professionals, diagnostic processing and reporting, and more. Workpath is available to 95% of patients across the country and facilitates in-home healthcare services for clinical trial operators, Fortune 100 companies, and the nation’s largest diagnostic laboratories.

Acquisition Creates A New Paradigm for
Patient-First Healthcare

As part of the acquisition, Workpath will
continue to operate independently as an autonomous entity. Workpath and its API
will continue to be available to other healthcare companies, enabling them to
dispatch healthcare professionals to perform services ranging from blood draws
to vaccinations and other primary care services, all from the comfort of a
patient’s home. The company’s full-service platform includes scheduling and
dispatch software, a nationwide network of healthcare providers, diagnostic
processing and reporting, and more. Ro’s offering of Workpath’s platform will
position the combined company as an integral part of the healthcare industry’s
transition to connect the best of virtual and in-person care.

Enabling End-to-End Care

M&A: Ro Acquires On-Demand, In-Home Platform Workpath

Ro-affiliated providers will leverage Workpath’s
API to order in-home care or diagnostic services for patients, greatly
expanding the scope of conditions that can be treated or managed through Ro’s
platform. In doing so, Ro will seamlessly connect a patient’s doctor, pharmacy,
and lab on its vertically-integrated platform, enabling end-to-end care from
diagnosis to the delivery of medication to ongoing care. Given that seven of
every ten healthcare decisions require blood work, Ro will start by offering in-home
phlebotomy (blood test) services with results directly delivered through Ro’s
platform.

Zachariah Reitano, Co-Founder and CEO of Ro, said: “Ten years from now, more healthcare services will be delivered online or in-home than in every hospital, doctors office, or pharmacy combined, and this acquisition will help accelerate that change. The powerful new platform we’re creating enables Ro, and countless other healthcare companies, to deliver care whenever and wherever patients need it. We look forward to welcoming Workpath to the Ro family and together setting a new standard for vertically integrated healthcare delivery.”

Financial details of the acquisition were not disclosed.

PointClickCare Acquires Collective Medical for $650M to Create to Largest Combined Acute and Post-Acute Care Network

PointClickCare Acquires Collective Medical for $650M to Create to Largest Combined Acute and Post-Acute Care Network

What
You Should Know:


PointClickCare announces its intent to acquire Collective Medical to create the
largest combined acute and post-acute care network in North America for $650M.


Collective Medical’s platform connects more than 1,300 hospitals, thousands of
ambulatory practices and long-term post-acute care (LTPAC) providers, as well
as accountable care organizations (ACOs) and every national health plan in the
country, across a 39-state network.

– With the acquisition of Collective Medical, PointClickCare will solidify its position as a high-growth, cloud-based SaaS leader, serving a large, diversified customer base across the acute, ambulatory, post-acute, and payer spectrum.


PointClickCare
Technologies
, a leader in senior care technology with a network of more
than 21,000 skilled nursing facilities, senior living communities, and home
health agencies, today announced its intent to acquire
Collective Medical, a Salt Lake
City, UT-based leading network-enabled platform for real-time cross-continuum
care coordination for $650M. Together, PointClickCare and Collective Medical
will provide diverse care teams across the continuum of acute, ambulatory, and
post-acute care with point-of-care access to deep, real-time patient insights
at any stage of a patient’s healthcare journey, enabling better decision making
and improved clinical outcomes at lower cost.

The acquisition follows a partnership, created between the
companies in August 2019, which streamlined the integration of Collective
Medical’s solution for care transitions with PointClickCare’s leading
cloud-based software platform. Hundreds of PointClickCare customers are already
leveraging this connection to the Collective platform to coordinate seamless
care transitions and influence decisions at the point of care.

COVID-19 Underscores Barriers to Care Coordination

Currently, hospitals, ACOs and health plans
lack the data and tools to effectively coordinate with LTPAC providers and
other disparate points of care – an issue spotlighted further by the COVID-19 pandemic.
And despite the healthcare system’s ongoing move to value-based payment
models
, barriers to care coordination
persist, especially for seniors and other complex patient populations. Through
this acquisition, the company will be uniquely positioned to address these
challenges.

PointClickCare supports a network of more than 21,000
skilled nursing facilities, senior living communities and home health agencies.
In the United States, 97 percent of all hospitals discharge patients to skilled
nursing facilities using PointClickCare. Founded in 2005, Collective Medical’s
platform connects more than 1,300 hospitals, thousands of ambulatory practices
and long-term post-acute care (LTPAC) providers, as well as accountable care
organizations (ACOs) and every national health plan in the country, across a
39-state network.

These providers come together via the Collective platform to
support patients suffering from a variety of complex conditions, including
substance use disorder, mental and behavioral health issues, and other care
needs requiring multiple interventions and transitions across disparate care
settings. The combination of PointClickCare and Collective Medical will enable
care to be more seamlessly delivered for the most complex (high-cost,
high-needs) patients, including the rapidly growing aging population.

The acquisition will connect care teams, post-acute
providers, hospitals and health plans with better data about their patients,
ultimately reducing administrative burdens and bringing down the high costs of
complex care. Providers and health plans will be empowered as they work to
solve the complexities around the senior patient population by leveraging
increased information across diagnoses groups and unprecedented access to drive
behavior change at the point of care.

Acquisition Establishes PointClickCare As Leader in Acute and Post-Acute
Care Network

With the acquisition of Collective Medical, PointClickCare
will solidify its position as a high growth, cloud-based SaaS leader, serving a
large, diversified customer base across the acute, ambulatory, post-acute, and
payer spectrum. As the shift to value-based care fuels growing market demand
for intelligence and collaboration tools, the company will be best positioned
to provide the most fully integrated set of real-time care coordination tools
across the entire continuum of care, powered by the largest network of its kind
in the U.S.

“The healthcare ecosystem is a mix of disconnected providers, systems, plans, processes and data. Healthcare costs and risk are on the rise, while patient care and provider-to-provider coordination are inconsistent. Our mission is to improve the lives of seniors, and we believe the best way to meaningfully advance this goal is by connecting disparate points of care,” says Mike Wessinger, founder and chief executive officer of PointClickCare Technologies. “Collective Medical offers the right fit of people and technology and together we will initiate a new era of data-enriched collaboration across the continuum that radically transforms how data and people are empowered to liberate health.”

The acquisition is subject to receiving regulatory
approvals, including from The Committee on Foreign Investment in the United
States (CFIUS), and other customary closing conditions, and is expected to be
completed by the end of December 2020.

M&A: Olive Acquires AI Prior Authorization Company Verata Health

Olive Acquires AI Prior Authorization Company Verata Health

What You Should Know:

– On the heels of $225.5 million dollars in funding and a
$1.5B valuation this week, Olive today announced its acquisition of Verata
Health to create a combined AI prior authorization solution for providers and
payers under the Olive name.

– Prior authorization is a $31 billion dollar issue in
healthcare, and one of the top reasons patient care is delayed. Olive is now
able to reduce write-offs by over 40% and cut turnaround times for prior
authorizations by up to 80%, ultimately offering hospitals $3.5 million in
savings.


Olive today, announced
the acquisition
of Verata Health to solve prior
authorizations for providers and payers via artificial
intelligence
as a combined solution under the Olive name. The acquisition
follows Olive’s recent $225.5 million financing round to bolster the company’s
R&D war chest and drive the growth of Olive’s AI workforce for providers
and payers. With Olive’s recent momentum, Verata’s suite of AI tools will
deepen Olive’s impact as it automates the $31 billion problem of prior authorizations
in healthcare.

Leverage Powerful Prior Authorization AI

Verata is a leading healthcare AI company, enabling
Frictionless Prior Authorization® for providers and payers. Seamlessly
connected to the nation’s top electronic health record
(EHR)
systems, Verata’s AI technology automatically initiates prior
authorizations, retrieves payer rules, and helps identify and submit clinical
documentation from the EHR.
When payers leverage its AI platform, Verata enables point-of-care
authorizations for providers and patients, dramatically accelerating access to
care.

Solving the $31B Prior Authorization Burden

Prior authorizations were the most costly and time-consuming transactions for providers in 2019 and are among the top reasons patient care is delayed. As cash-strapped hospitals and health systems strive to meet patient, payer, and provider needs, the demand for AI technologies to increase efficiency and improve the patient experience has become critical. To help improve patient access to care and remedy the $31 billion prior authorization challenge, Olive and Verata’s combined prior authorization solution streamlines the process for providers, patients, and payers by reducing write-offs by over 40% and cutting turnaround time for prior authorizations by up to 80%.

Acquisition Will Provide End-to-End Prior Authorization

By integrating Verata’s solution, Olive is able to provide customers with a true end-to-end prior authorization solution. The solution starts with determining if an authorization is required, includes touchless submission of the prior authorization request, ends with automating denied claim appeals, and grants hospitals a 360-degree view of their authorization performance. This means patients not only get the care they need faster but also eliminates confusing bills patients receive post-service stating their claim has been denied by their insurance.

As part of the acquisition, more than 60 Verata employees
will join the Olive team following the acquisition, bringing Olive’s total
employee count to approximately 500. Olive’s senior executive team will
continue to grow as well:

– Lori Jones, Chief Revenue Officer, will retain her title
and will also take on the role of President, Provider Market

– Dr. Jeremy Friese, Chief Executive Officer at Verata, will
join Olive as President, Payer Market

– Dr. YiDing Yu, Chief Medical Officer at Verata, will
become Olive’s Chief Medical Officer

“A broken healthcare system is one of the biggest challenges humanity faces today and prior authorization issues, in particular, are costing our nation billions of dollars. After partnering with Verata earlier this year, we saw incredible potential for Verata’s technology to reduce the amount of time and money spent on prior authorizations, and to eliminate delays in patient care,” said Sean Lane, CEO of Olive. “This acquisition allows Olive to accelerate innovation in areas where we can drive the biggest impact, and further expands our solutions to providers and payers seeking to transform healthcare.”

Financial details of the acquisition were not disclosed.

M&A: Imprivata Acquires Patient Privacy Intelligence Company FairWarning

M&A: Imprivata Acquires Patient Privacy Intelligence Company FairWarning

What You Should Know:

– Imprivata acquires FairWarning Technologies, a provider
of patient privacy intelligence.

– The combined solutions will offer healthcare a single Digital Identity platform that integrates role-based access controls, identity governance, and data privacy compliance.


Imprivata®, the digital identity company for healthcare, today announced the acquisition
of FairWarning
Technologies, LLC
, a Clearwater, FL-based provider of patient privacy intelligence. The
combination of Imprivata and FairWarning
solutions provide customers with a single Digital Identity platform that
integrates role-based access controls, robust identity
governance, and critical data privacy compliance.

Patient Privacy
Intelligence Platform

FairWarning is an analytics and insider threat detection platform. The platform ingests hundreds of data sources, such as EMR, CRM, HR, and others, and applies data logic and machine learning to identify potential breaches of protected information. Primarily serving the healthcare market, FairWarning is the leader of Patient Data Privacy Intelligence and Drug Diversion analytics that serves compliance officers in the protection of Protected Health Information (PHI). FairWarning also provides similar data privacy solutions specifically designed for mission-critical business applications for enterprise and financial services.

“Like Imprivata, FairWarning is focused on delivering a world-class experience that ensures customers benefit from the full value of the investment in their solutions,” said Gus Malezis, CEO of Imprivata. “I’m thrilled about the similarities we share in culture and in our commitment to our customers. We’re excited to make FairWarning a key component of our go-forward analytics and Digital Identity strategy, and to be able to offer our customers a broader set of solutions from a single vendor that is committed to delivering innovative products and a signature customer experience.”


M&A: CarepathRx Acquires Pharmacy Operations of Chartwell from UPMC for $400M

CarepathRx Acquires Specialty Pharmacy Operations of Chartwell for $400M

What You Should Know:

CarepathRx will
acquire the University of Pittsburgh Medical Center’s pharmacy operations in a
$400M deal.

The company fully
integrates pharmacy operations, expands healthcare services, improves
ambulatory access, minimizes clinical variation and creates new health system
revenue streams.

– CarepathRx serves more than 15 health systems and 600
hospitals, with more than 1,500 employees nationwide, 400 payor contracts.
Already CarepathRx has treated more than 100,000 patients.

CarepathRx, a leader in pharmacy and medication management
solutions for vulnerable and chronically ill patients, announced today a
partnership with UPMC’s Chartwell subsidiary that will expand patient access to
innovative specialty pharmacy and home infusion services. Under the $400M landmark
agreement, CarepathRx will acquire
the management services organization responsible for the operational and
strategic management of Chartwell while UPMC becomes a strategic investor in CarepathRx. 

This new partnership expands CarepathRx’s specialty and home infusion capabilities. “Our partnership with UPMC and Chartwell is an important step for CarepathRx. We set out to create a new approach to pharmacy care in the market—one that is centered on the patient and that works collaboratively with both the provider and the payor of health care,” said Figueroa, chief executive officer of CarepathRx. “We welcome the team at Chartwell to the CarepathRx family and are thrilled to partner with UPMC to help us achieve our mission.”

Optimize Your Hospital Pharmacy
Operations

Founded in 2019 by seasoned health care executive John Figueroa and middle-market private equity firm Nautic Partners LLC, CarepathRx has rapidly become a leader in delivering comprehensive pharmacy solutions to patients undergoing complicated medication therapies. By focusing on the most vulnerable patients, CarepathRx is seeking to break down the barriers of typical pharmacy care and medication management. Its suite of solutions caters to patients undergoing specialty and infusion therapies, often for a variety of chronic conditions. CarepathRx works closely with partners across the health care spectrum—including health systems, community physicians, home health agencies and payors. Today, CarepathRx delivers its services to more than 600 hospitals across the country.

The transaction is expected to close
within 30 days. Cantor Fitzgerald & Co. served as financial advisor to
Chartwell in the formation of the management services organization and
partnership with CarepathRx.

Healthcare M&A: DAS Health Acquires Randall Technology Services

DAS Health Acquires Health IT and Medical Billing Conglomerate

What You Should Know:

– DAS Health Ventures acquires healthcare
and managed IT company Randall Technology Services (RandallTech).

– This acquisition adds Allscripts® PM
and EHR solutions to the DAS portfolio of supported products, and DAS Health
has now added additional staff in Texas that will create opportunities for
greater regional support of its entire solutions portfolio.


DAS Health Ventures, Inc., an industry leader in health IT and management, announced today it completed the acquisition of Randall Technology Services, LLC (RandallTech) healthcare and managed IT company based in Amarillo, TX. As part of DAS’ growth strategy, this most recent expansion further strengthens its position in the US healthcare technology space.

Acquisition Enhances DAS Health Market Reach

DAS Health actively serves more than 1,800 clients, and
nearly 3,500 clinicians and 20,000 users nationwide, with offices in Florida,
Nevada, New Hampshire and Texas, and a significant employee presence in 14 key
states. This acquisition adds Allscripts® PM and EHR solutions to the DAS
portfolio of supported products, and DAS Health has now added additional staff
in Texas that will create opportunities for greater regional support of its
entire solutions portfolio.

Increased Support for Existing RandallTech Clients

Randall Technology’s clients will gain an increased depth of support, and a substantially improved value proposition, as DAS Health’s award-winning offerings are robust, including managed IT / MSP services, practice management, and EHR software sales, training, support and hosting, revenue cycle management (RCM), security risk assessments (SRA), cybersecurity, MIPS/MACRA reporting & consulting, mental & behavioral health screenings, chronic care management, telemedicine, and other value-based and patient engagement solutions.

Financial details of the acquisition were not disclosed.

HealthStream Acquires Change Healthcare’s Staff Scheduling Business for $67.M

HealthStream Acquires Change Healthcare’s Staff Scheduling Business for $67.M

What You Should Know:

– HealthStream acquires Change Healthcare’s staff
scheduling business for $67.5M in cash which includes the ANSOS™ Staff
Scheduling (“ANSOS”) platform and related products.

– The acquisition will help establish HealthStream as a
market leader in healthcare workforce scheduling business.


HealthStream, a
leading provider of workforce and provider solutions for the healthcare
industry has entered into a definitive agreement to acquire
Change Healthcare’s staff
scheduling business, which includes their market-leading ANSOS™
Staff Scheduling (“ANSOS”)
application and related products. : The purchase
price payable upon the closing of the ANSOS acquisition will be approximately
$67.5 million in cash (subject to working capital and other customary purchase
price adjustments), which will be funded with cash on hand.

ANSOS Platform Background

ANSOS is an enterprise solution for healthcare providers
that want to anticipate workload requirements, manage labor costs, apply
complex work rules, and meet credential requirements for shifts—all for the
purpose of optimizing staff deployment. Today, the platform is used by over 300
hospitals and health systems and continues to be recognized as a market leader
in nurse and staff scheduling by KLAS™.

In addition to the ANSOS Staff Scheduling application, the
contemplated acquisition includes related products: Enterprise Visibility™, a
patient tracking system, and Capacity Planner™, a predictive analytics tool.
Importantly, all three products (i.e. ANSOS, Enterprise Visibility, and
Capacity Planner) work in concert with each other, creating a powerful solution
suite for aligning staff and scheduling based on patient acuity, predicting
patient demand, and adjusting resources for optimal outcomes.

Acquisition Expands HealthStream’s Portfolio of Staff
Scheduling & Workforce Solutions

The addition of Change Healthcare’s staff scheduling
business will expand HealthStream’s growing portfolio of solutions for staff
scheduling and workforce management, which began in early 2020 with the
acquisition of NurseGrid and grew further with the acquisition of ShiftWizard
last month. The complementary positioning of ANSOS, ShiftWizard, and NurseGrid
will enable future data integrations and advanced analytics that yield smarter
schedule development while enhancing engagement with staff.

“We are excited to add ANSOS to HealthStream’s growing nurse
and staff scheduling business for healthcare providers as we believe this is a
major win for everyone: customers, partners, employees, and shareholders,” said
Robert A. Frist, Jr., Chief Executive Officer, HealthStream. “The closing of
this transaction will establish HealthStream as an industry leader in nurse and
staff scheduling for healthcare providers. Considering our strong track record
of strengthening acquired products and solutions to deliver even greater value
to customers, I believe we are well positioned for continued growth and
innovation in workforce management.”

Post-Acquisition Plans

Following the acquisition, customer support for each of
these products will remain in place. Approximately 90 employees from Change
Healthcare will join HealthStream upon closing. Together, ANSOS, ShiftWizard,
and NurseGrid represent HealthStream’s portfolio of nurse and staff scheduling
solutions with executive oversight provided by Scott McQuigg, Senior Vice
President, HealthStream. These solutions will be included in HealthStream’s
Workforce Solutions business segment.

Financial Details

Revenues for the business to be acquired are primarily
associated with sales of perpetual software, maintenance, and professional
services. HealthStream expects incremental revenues in 2021 to range between
$16.5 and $19.5 million, taking into account an estimated reduction of between
$7.0 and $8.0 million related to deferred revenue write-downs. While the
business has historically sold perpetual software licenses, future product
development and sales efforts are anticipated to be directed towards a
software-as-a-service model.

HealthStream plan to make investments in the areas of sales,
marketing, product development, and operations to support this initiative. In
addition, we anticipate the amortization of acquired intangible assets to range
between $3.0 and $4.0 million during 2021. Considering the additional investments
intended during 2021, the deferred revenue write-downs, the amortization of
intangible assets, and transition services expenses, we expect the acquired
business to generate an operating loss in 2021.

M&A: CompuGroup Medical Acquires eMDs for $240M

M&A: CompuGroup Medical Acquires eMDs for $240M

What You Should Know:

– CompuGroup Medical (CGM) acquires eMDs, Inc. (eMDs), a
leading provider of healthcare IT with a focus on doctors’ practices in the US,
reaching an attractive size in the biggest healthcare market worldwide.

– CGM is building an attractive platform for future
growth through complementary product portfolios and the ability to provide
comprehensive solutions for doctors’ practices.


CompuGroup
Holding USA, Inc.,
a 100 % subsidiary of CompuGroup Medical SE &
Co. KGaA announced it has acquired
eMDs, an Austin, TX-based provider of electronic health records
(EHRs),
practice management software, revenue cycle
management
solutions, and credentialing services for physician practices
and enterprises. The acquisition is structured as a reverse triangular merger
under U.S. law. eMDs’ key products are Ambulatory Information Systems and
outsourcing services for medical accounting.

Financial Details

With this acquisition, the US subsidiary of CGM
significantly broadens its position and will become the top 4 providers in the
market for Ambulatory Information Systems in the US. The consideration to be
paid to the current shareholders of eMDs is based on an enterprise value of $240M
(equal to approx. EUR 203 million), which will be adjusted inter alia for
amounts of cash, financial debt and net working capital (compared to a
reference amount) as of the closing date. In the fiscal year 2019/2020 (ended
03/31/2020), eMDs had revenues of approximately EUR 81 million and an adjusted
EBITDA of approximately EUR 12 million with more than 60,000 healthcare
providers.

Founded by physicians, the company is an industry leader for
usable, connected software that enables physician productivity and a superior
clinical experience. eMDs’ customer base today consists of more than 60,000
providers in more than 70 disciplines. eMDs is operating in the highly
attractive US healthcare IT market that shows a high equipment rate with IT
solutions for healthcare professionals. eMDs has more than 1,400 employees at
locations in the United States and India.

“The fit with our existing product portfolio is perfect. We have established a solid foundation in the United States in recent years and are already number 2 in the important field of Laboratory Information Systems for Physician Owned Labs (POLs) and Reference Labs,” said Frank Gotthardt, founder and CEO of CompuGroup Medical SE & Co. KGaA. The Germany-based corporation is one of the leading providers for eHealth solutions worldwide. “We are firmly convinced that both CGM and eMDs customers will benefit from this transaction through complementary product strengths.”

SPAC Mergers with 2 Telehealth Companies to Form Public Digital Health Company in $1.35B Deal

SPAC Mergers with 2 Telehealth Companies to Form Public Digital Health Company in $1.35B Deal

What You Should Know:

– GigCapital2 Inc has agreed to merge with UpHealth Holdings Inc and Cloudbreak Health LLC to create a public digital healthcare company valued at $1.35 billion, including debt, the blankcheck acquisition company said on Monday.

– The combined company will be named UpHealth, Inc. and
will continue to be listed on the NYSE under the new ticker symbol “UPH”.

Blank check acquisition
company GigCapital2 agreed to merge
with Cloudbreak Health, LLC, a unified telemedicine and video medical
interpretation solutions provider and UpHealth
Holdings
, Inc., one of the largest national and international digital
healthcare providers to form a combined digital health company. The deal is valued
at $1.35 billion, including debt. the combined company will be named UpHealth, Inc. and will continue to be
listed on the NYSE under the new ticker symbol “UPH”.

Following the merger, UpHealth will be a leading global
digital healthcare company serving an entire spectrum of healthcare needs and
will be established in fast growing sectors of the digital health industry.
With its combinations, UpHealth is positioned to reshape healthcare across the
continuum of care by providing a single, integrated platform of best-in-class
technologies and tech-enabled services essential to personalized, affordable,
and effective care. UpHealth’s multifaceted and integrated platform provides
health systems, payors, and patients with a frictionless digital front door
that connects evidence-based care, workflows, and services.

“We are excited to partner with UpHealth and Cloudbreak through our Private-to-Public Equity (PPE)™ platform. The combined UpHealth has all the hallmarks we look for in a successful partnership, including a world-class executive team and an exceptional business model with scale, strong growth, and profitability margins in the digital healthcare industry. We are particularly excited about the opportunity to provide our Mentor-Investor™ discipline in partnership with an exceptional global leadership team, as well as participate in a high-tech integrated platform that comprises a variety of cutting edge disciplines, such as the Artificial Intelligence platform being developed by Global Telehealth in conjunction with the tech-enabled Behavioral Health divisions. We are confident UpHealth is at the inflection point and positioned for accelerated growth.” – Dr. Avi Katz – Founder and Executive Chairman of GigCapital2

Combined Company Offerings

SPAC Mergers with 2 Telehealth Companies to Form Public Digital Health Company in $1.35B Deal

Upon closing the pending mergers and the combination with Cloudbreak, UpHealth will be organized across four capabilities at the intersection of population health management and telehealth:

1. Integrated Care Management: Thrasys Inc. (“Thrasys”) has reinvested $100M of customer revenue to
develop its innovative SyntraNet Integrated Care technology platform. The
platform integrates and organizes information, provides advanced
population-based analytics and predictive models, and automates workflows
across health plans, health systems, government agencies, and community
organizations. The platform plans to add at least 40 million lives to UpHealth
in the next 3 years to support global initiatives to transform healthcare.

2. Global Telehealth: will consist of a U.S. division and an international division
that, together, are anticipated to grow revenues by an additional $47 million
in 2021.

The U.S. division of
Global Telehealth following the combination, Cloudbreak, is a leading unified
telemedicine platform performing more than 100,000 encounters per month on over
14,000 video endpoints at over 1,800 healthcare venues nationwide. The
Cloudbreak Platform offers telepsychiatry, telestroke, tele-urology, and other
specialties, all with integrated language services for Limited English Proficient
and Deaf/Hard-of-Hearing patients. Cloudbreak’s innovative, secure platform
removes both distance and language barriers to improve patient care,
satisfaction, and outcomes.

The international
division of Global Telehealth following the combination, Glocal Healthcare
Systems Pvt. Ltd (“Glocal”), is a global provider of virtual consultations and
local care spanning the care continuum. It has designed proven, affordable and
accessible solutions for the delivery of healthcare services globally. The
platform provides a full suite of primary and acute care services, including an
app-based telemedicine suite, digital dispensaries, and hospital centers. The
platform has signed several country-wide contracts with government ministries
across India, Southeast Asia, and Africa.

3. Digital Pharmacy: MedQuest Pharmacy (“MedQuest”) is a leading full-service manufactured and compounded pharmacy licensed in all 50 states that pre-packages and ships medications direct to patients. The company also offers lab services and testing, nutraceuticals, nutritional supplements, education for medical practitioners, and training for organizations, associations, and groups. MedQuest serves an established network of 13,000 providers. The MedQuest platform is poised for strong growth via targeted product expansion and expansive eCommerce capabilities for the entire provider network. UpHealth and MedQuest have mutually executed a merger agreement, the closing of which is awaiting regulatory approval for the transfer of licenses expected by the end of 2020 or early 2021.

4. Tech-enabled Behavioral Health: TTC Healthcare, Inc. (“TTC Healthcare”) and
Behavioral Health Services LLC (“BHS”) offer comprehensive services
specializing in acute and chronic outpatient behavioral health, rehabilitation
and substance abuse, both onsite and via telehealth. UpHealth’s Behavioral
Health capabilities have dramatically expanded use of telehealth for medical
and clinical services and are leveraging UpHealth’s platform to increase
volumes across its services. UpHealth and TTC Healthcare have mutually executed
a merger agreement, the closing of which is awaiting regulatory approval for
the transfer of licenses expected prior to the end of 2020.

Global Financial Impact and Reach

UpHealth will have agreements
to deliver digital healthcare in more than 10 countries globally. These various
companies are expected to generate approximately $115 million in revenue and
over $13 million of EBITDA in 2020 and following the combination, UpHealth
expects to generate over $190 million in revenue and $24 million in EBITDA in
2021.

Signify Health Acquires Healthcare Payment Blockchain Company PatientBlox

Signify Health Acquires Healthcare Payment Blockchain Company PatientBlox

Signify Health, a leading provider of technology-enabled healthcare solutions designed to keep people healthy and happy at home has acquired PatientBlox, an Atlanta-based technology company with deep expertise in applying distributed ledger technology in healthcare. The acquisition accelerates Signify’s prospective provider payment capabilities for episodes of care, supporting the company’s commitment to advance value-based care through novel payment and risk arrangements. Financial details of the acquisition were not disclosed.

Acquisition Will Accelerate Prospective Episode of Care
Payment Models

The addition of blockchain technology enables a further shift away from traditional fee-for-service models. By making payments to providers at the start of the episode, providers are incentivized to drive care redesign because there is shared measurement and accountability at every step of the process, which results in improved care coordination, outcomes, and cost savings.

An episode of care is a healthcare event — a condition or a treatment — that is marked by a sequence of interactions between a patient and providers. The blockchain can capture each of those interactions and the patient’s care milestones that trigger payments. The PatientBlox platform is designed to manage these transactions without relying on fee-for-service claims.

PatientBlox Integration Offers Payers/Providers Array of Payment Options

As part of the acquisition, Signify will integrate the
PatientBlox technology into its already robust and scalable value-based care
platform
, which supports $6B in healthcare spend annually associated with
the federal government’s bundled payment program, BPCI-A, and episodes of care
payment programs by health plans and employers.

The proprietary PatientBlox technology is built-for-purpose and highly-secure, enabling functionality that facilitates contract and payment administration under a prospective payment model. Under its expanded platform, Signify will offer payers and providers a diverse array of payment options to meet them where they are in their value-based care journey.

“We combined our team’s healthcare, fintech, and supply chain experience with machine-learning and Distributed Ledger Technology (DLT) to build the PatientBlox platform for administration and management of prospective bundles,” said PatientBlox Co-Founder and CEO Rahul Sharma. “Our DLT based platform enables collaboration between Healthcare Payers and Providers and provides real time data synchronization across entities thus enabling rapid scaling of prospective bundled payment programs. We are excited to work with Kyle and the Signify team and are proud to have the novel technology developed by the PatientBlox team be part of Signify’s leading platform, which is already driving real change in the healthcare industry.”

M&A: Medsphere Systems Corporation Acquires Micro-Office Systems

M&A: Medsphere Systems Corporation Acquires Micro-Office Systems

What You Should Know:

– Medsphere acquires Micro-Office Systems (MOS),
developer of systems integration and communication tools. MOS will retain its
name and will serve as a division of Medsphere moving forward.


Medsphere Systems
Corporation 
today announced the acquisition
of Micro-Office Systems (MOS)
in a move that will even further enhance the value and usability of Medsphere’s
affordable healthcare IT solutions and services. With over 30 years of healthcare IT
experience, MOS focuses on creating the in-between technology that streamlines
the functionality of various platforms and applications to the benefit of
administrators, clinicians, and patients. The acquisition enhances Medsphere’s
platform with the integration of custom medical practice and healthcare IT solutions.

MOS Product Portfolio

The MOS product portfolio includes numerous interfaces to
improve communication and integration among solutions; system migration tools
and strategies to smooth and hasten the transition from one system to another;
and the Patient Communications Gateway, a comprehensive, modular system that
empowers healthcare organizations to effectively communicate with patients.

“The entire healthcare IT industry, with as many products as there are, has evolved to the point where the connective tissue is just about as important as the muscle and bone,” said Medsphere President and CEO Irv Lichtenwald. “Even when healthcare IT was in its relative infancy, Micro-Office Systems was improving communication among platforms and making localized systems work better for all users. This is a tremendous addition to Medsphere’s solution suite and we have every confidence that our clients will recognize and appreciate the enhanced performance MOS enables.”

Recent M&A Activity

The acquisition
of MOS is only Medsphere’s most recent move to expand company offerings. In
recent years Medsphere has added ambulatory healthcare IT solutions provider ChartLogic; healthcare IT consulting and
outsourcing provider Phoenix
Health Systems
; robust revenue cycle management systems developer Stockell
Healthcare, which now operates under the Medsphere banner; and the top-rated
Wellsoft emergency department information system.

As part of the acquisition, MOS will retain the Micro-Office
Systems name with the added modifier, “A Division of Medsphere.”

Volaris Group Acquires Clinical Workforce & Workflow Platform medaptus

Volaris Group Acquires Clinical Workforce & Workflow Platform medaptus

What You Should Know:

– Volaris Group acquires medaptus, a clinical workforce, and workflow solutions that empower healthcare delivery entities to achieve their desired patient, clinical and financial outcomes.


Today, Volaris Group has acquired medaptus, a healthcare technology company that removes the administrative burden from hospital and group practice operations to enable higher efficiency throughput.

Removing common and costly workflow barriers from provider
workflows.

medaptus’ clinical workforce and workflow solutions empowers healthcare delivery entities to achieve their desired patient, clinical and financial outcomes. medaptus has applied information technology to solve problems that are common and costly to healthcare organizations that include single-specialty groups, acute care hospitals, hospital medicine teams, ambulatory care settings, and cancer centers. The company’s information technology solutions enable better revenue capture and integrity, hospital medicine workflows that make sense, and computer-assisted coding for infusion services coding processes.


Volaris Group Background

Volaris has a successful track record of acquiring,
strengthening, and growing vertical market software companies. The medaptus
acquisition expands the company’s footprint in the healthcare information
technology space. Financial details of the acquisition were not disclosed.

Volaris acquires, strengthens, and grows vertical market technology companies. As an operating group of Constellation Software Inc., Volaris is all about strengthening businesses within the markets they compete in and enabling them to grow – whether that growth comes through organic measures such as new initiatives and product development, day-to-day business, or through complementary acquisitions.

“We are delighted to welcome medaptus to our team. The company complements our current healthcare portfolio, adding new customers and unique automation capabilities to the mix. medaptus software solutions address a number of important issues in healthcare and the company’s outstanding track record and service quality reputation provide an excellent opportunity for future growth and innovation,” said Michael Melville, Group Leader at Volaris Group.

M&A: Central Logic Acquires Patient Care Transition Platform Ensocare

M&A: Central Logic Acquires Patient Care Transition Platform Ensocare

What You Should Know:

– Central Logic has acquired Omaha-based Ensocare, which
automates the referral process for patients from hospital to post-acute care
(PAC) when they are being discharged.

– This acquisition means that Central Logic’s technology
solution will now expand its reach across the care continuum, from acute to
post-acute care—into, through and out of the health system. This combined
capability is key to increasing patient satisfaction while also increasing
patient census by ensuring beds are available when they are needed by new
patients.


Central Logic,
the leading healthcare access and orchestration company, announced today that
it has acquired
Omaha-based Ensocare, which automates
the inpatient referral process to post-acute care (PAC). Central Logic’s health
system technology solution currently focuses on referrals and transfers into a
health system by uniting all available provider, facility and transportation
resources. Financial details of the acquisition were not disclosed.

Making Care Transition More Efficient

About 40% of Medicare beneficiaries are discharged from the hospital to post-acute facilities. With a
large aging population, U.S. health systems face growing pressures to improve
care access and streamline transitions of care to optimize patient outcomes,
increase operating margins, and control costs. 

Founded in 1999, Ensocare provides hospitals and post-acute care
providers software and proactive support to manage patient transitions of care,
improve efficiency in the referral management process and streamline
communication between healthcare organizations. Backed by live, 24/7 customer
support and tapping into the nation’s largest no-cost post-acute care network,
we’ll help you lower costs, enhance patient satisfaction and increase
profitability by automating workflows and eliminating inefficient systems.

Acquisition Expands Central Logic’s Solutions to Post-Acute
Care

The acquisition of Ensocare expands Central Logic’s solution
to include successful transitions out of hospitals to post-acute care
settings—including skilled nursing and rehabilitation facilities, long-term
acute care centers, and even the home—by tapping into Ensocare’s active,
curated network of more than 50,000 PAC providers nationwide. Placement
confirmations are secured on average within 30 minutes.

In light of the Ensocare
acquisition, Central Logic becomes the only solution in the market that
provides region-wide acute care transfer, transport and post-acute care
transfer capabilities in one platform, enabling health systems to more
cohesively operate as one.

Private Equity firm Rubicon Technology partners, a leading
private equity firm based in Boulder, Colo., made a strategic majority investment in Central Logic in June,
with a commitment to accelerating growth. Two weeks before Rubicon’s majority
investment in Central Logic, the PE firm announced a new $1.25 billion fund that exceeded the fund target
of $850 million in less than 6 months. The Ensocare acquisition marks the first
major milestone in Central Logic’s growth trajectory that Rubicon committed to
when making its strategic majority investment in the company earlier this year.

Expanded Footprint

Central Logic’s technology will now span 800 hospitals and
health systems, covering 150,000 providers and more than 5 million
patients—representing 14% of U.S. annual inpatient visits. he company now
employs 125 team members and will continue to operate Ensocare’s Omaha, Neb.,
location, as well as existing Central Logic offices in St. Paul, Minn., and
Sandy, Utah.

“This strategic acquisition means that our solutions will now span the care continuum from acute to post-acute care, which will improve transitions into, through and out of the health system, creating true ‘systemness’ for our clients,” said Angie Franks, CEO of Central Logic. “By operating as one, health systems can offer a more seamless experience for their patients across all acuity levels while enabling providers to stay connected and strengthening the relationships with PAC providers in their communities.”

Our fully integrated solution will provide visibility and access to data that ensures hospital beds are freed in a timely manner when inpatient care is no longer necessary. This decreases length of stay and increases throughput,” Franks said. “Further, this kind of efficient orchestration and navigation creates bed availability and access for incoming patients, creates more time for clinicians to operate at the top of their license and elevates revenue capture and reduction of system leakage.”

Central Logic’s existing solutions already deliver 10x ROI to health system clients in the first year, and Franks says that clients that expand their engagement to include the acute to post-acute orchestration and access solution will see even greater results. “This is more important now than ever as health systems across the country implement the necessary controls and programs to rebuild operating margin deficits due to COVID-19,” Franks added.

M&A: RxVantage Acquires onPoint Oncology to Expand Offering to Oncology Practices

M&A: RxVantage Acquires onPoint Oncology to Expand Offering to Oncology Practices

What You Should Know:

– RxVantage has acquired onPoint Oncology to provide cancer care teams with on-demand access to educational resources, reimbursement data, and analytics.

– The acquisition of onPoint Oncology builds on
RxVantage’s rapidly expanding digital offerings for providers. In April,
RxVantage launched Virtual Meetings to help providers reestablish access to
life science experts amidst the disruptions caused by COVID-19.


RxVantage, the
leading digital platform connecting healthcare providers to educational
resources and experts from life science companies, today announced the acquisition
of onPoint Oncology,
the leader in oncology reimbursement data and analytics.

The partnership ensures that care teams will have access to
onPoint’s unique revenue cycle
data and reimbursement insights as well as one-click access to educational
resources and expertise from any life science company, all through the free RxVantage digital platform.

The acquisition of onPoint Oncology builds on RxVantage’s
rapidly expanding digital offerings for providers. In April, RxVantage launched
Virtual Meetings to help providers reestablish access to life science experts
amidst the disruptions caused by COVID-19.

onPoint will operate as a wholly-owned subsidiary of
RxVantage. As part of the acquisition, industry veterans Tracy Lewis and Bobbi
Buell will join RxVantage leadership team. Financial details of the acquisition
were not disclosed.

RxVantage Background

Founded in 2007, RxVantage’s mission is to ensure that every
provider has the most relevant information and data on medications and medical
technologies, in order to deliver the best care to every patient. More than
6,000 medical practices across the US utilize RxVantage to connect and engage
with over 50,000 experts from life science companies.

HST Pathways and Casetabs Merge to Form ASC Practice Management Powerhouse

HST Pathways and Casetabs to Merge to Form ASC Practice Management Powerhouse

What You Should Know:

– HST Pathways and Casetabs announce merger to power surgical communication combined with the industry leader in ASC practice management.

–  The combined company is supported by a majority investment led by private equity company Bain Capital Tech Opportunities with a minority investment from Nexxus Holdings.


HST Pathways (“HST”)
and Casetabs, two leading providers of
innovative, cloud-based software for ambulatory surgery centers (“ASCs”) across
the U.S., today announced a strategic merger
of their businesses that will offer customers a flexible and secure set of
technology solutions and enhanced products and services. The combination is
supported by a majority investment led by Bain Capital Tech
Opportunities
with a minority investment from Nexxus Holdings. Financial
terms of the private transaction were not disclosed.

In 2019, HST and Casetabs began bi-directional integration
of their products. A revenue-sharing agreement was launched in January 2020,
when Casetabs’ Schedule Sharing application became an integrated feature of
HST’s practice management software.


Merger to Help Redefine the ASC Industry

The combined company will be led by seasoned executives from
both HST and Casetabs, who will leverage their in-depth understanding of the
ASC industry, strong client relationships, and insight into the market to align
strategic goals and maximize opportunities for growth.

With the support and resources provided by growth investors
with significant experience in healthcare technology, HST and Casetabs will
accelerate the pipeline of ASC information management products and services to
enable streamlined service, greater capabilities, and enhanced expertise for
customers. HST and Casetabs offer practice management software, physician
office scheduling, care coordination, revenue cycle optimization, enterprise
supply chain management, case costing, patient engagement and communication, an
electronic health record system, and analytics.

“The investment structure and partnership with Casetabs opens up new growth and synergies to create additional benefits for customers,” said Tom Hui, Founder and CEO of HST. “We already share over 400 customers which will provide a strong foundation to build further success in the market place. The combined talent of both companies will broaden and deepen our ability to deliver new products and continue to be a customer-centric services organization. Together, we continue to be thought leaders in the ASC market and introduce innovations that help our customers be successful today and in the future. This investment is a reflection of our commitment and confidence in our ability to grow together with Casetabs as leaders in the health information technology space.”

M&A: Centene to Acquire AI Healthcare Analytics Platform Apixio

M&A: Centene to Acquire AI Healthcare Analytics Platform Apixio

What You Should Know:

– Centene Corporation acquires AI healthcare analytics platform
Apixio to additional data and AI capability to technology portfolio.

– Apixio will remain an operationally independent entity
as part of Centene’s Health Care Enterprises group to continue bringing value
to its clients and the industry.

Centene Corporation, today
announced it has signed a definitive agreement to acquire
Apixio Inc., a AI healthcare analytics company offering Artificial
Intelligence (AI)
technology solutions. The transaction is subject to
regulatory approvals and is expected to close by the end of 2020.

Better Data. Better Healthcare

More than 1.2 billion clinical documents are generated each year in the U.S., but there is very little analysis of that unstructured information. Founded in 2009. Apixio helps organizations use their data for knowledge about patient health. This ultimately translates into more effective care delivery, lower costs and streamlined processes. Apixio’s machine learning and deep learning algorithms analyze unstructured data embedded in electronic health records, scanned notes, facsimiles, and handwritten notes to produce high-quality predictions for measurement, care, and discovery.

The Apixio Platform

M&A: Centene to Acquire AI Healthcare Analytics Platform Apixio

The Apixio Platform can mine textual data and combine its generated insights with available structured data to craft computable individual health profiles or phenotypes. We analyze our assembled phenotypes in real-time using a flexible rules engine. This automates the execution of clinical guidelines, quality and risk measures, payment or reimbursement policies, and other operational and administrative rules, to support critical healthcare activities.

Acquisition Complements Centene’s Existing Data Analytics
Products

“Centene is committed to accelerating innovation, modernization and digitization across the enterprise and solidify its position as a technology company focused on healthcare. Apixio’s capabilities are closely aligned with our plans to digitize the administration of healthcare and to leverage comprehensive data to help improve the lives of our members,” said Michael F. Neidorff, Chairman, President and Chief Executive Officer for Centene. “Apixio’s technology will complement existing data analytics products including Interpreta, creating a differentiated platform to broaden support for value-based healthcare payment and delivery with actionable intelligence.”

As part of the acquisition, Apixio will remain an
operationally independent entity as part of Centene’s Health Care Enterprises
group to continue bringing value to its clients and the industry, while also
realizing the benefits of enhanced scale with Centene. Financial details of the
acquisition were not disclosed.

Aptar Pharma Acquires the Assets of Respiratory Startup Cohero Health

Aptar Pharma Acquires the Assets of Cohero Health

What You Should Know:

– Apstar Pharma acquires the assets of respiratory health company Cohero Health to expands its digital portfolio with a focus on respiratory disease management.

– Cohero Health develops digital tools and technologies to improve respiratory care, reduce avoidable costs, and optimize medication utilization.


AptarGroup, Inc., a global leader in consumer dispensing, active packaging, drug delivery solutions, and services, announces that it has acquired all operating assets and the proprietary portfolio of Cohero Health, Inc. (“Cohero Health”), a digital therapeutics company transforming respiratory disease management for asthma and chronic obstructive pulmonary disorder (COPD). Financial details of the acquisition were not disclosed.

Start breathing smarter

Founded in 2013, New York-based Cohero Health develops innovative digital tools and technologies to improve respiratory care, reduce avoidable costs, and optimize medication utilization. With this transaction, Aptar Pharma acquires Cohero Health’s turnkey digital health platform and device assets including:

· BreatheSmart Connect digital health platform – care coordination and HIPAA-compliant SaaS cloud service which captures and securely stores data from Cohero Health’s devices and BreatheSmart® software for remote monitoring and patient communications to help manage patient therapy;

· BreatheSmart® App – designed for patient habit creating and behavior change, driving appropriate medication utilization. Provides real-time tracking of medication adherence and lung function, along with reminders, educational materials, and symptom/trigger recording;

·
HeroTracker® Sensors
– Bluetooth enabled medication smart inhaler sensors
designed for both control and rescue medications. Attaches to respiratory
medications to automatically record time and date of doses taken

· mSpirometer™ and cSpirometer™lung function diagnostic sensors – enable comprehensive pulmonary lung function testing in a handheld wireless device.

Acquisition Expands Aptar’s Digital Portfolio

“Cohero Health further strengthens and expands Aptar’s digital portfolio, in this case, with a focus in respiratory disease management,” commented Sai Shankar, Aptar Pharma’s Vice President, Global Digital Healthcare Systems. “Aptar has made previous investments in digital respiratory company Sonmol in China and digital health company Navia Life Care in India. With this strategic bolt on, Aptar now has global capabilities to deploy digital respiratory health, utilizing either the Cohero or Aptar device portfolio/platform. The investment will also facilitate Aptar’s ability to provide diagnostic solutions in respiratory and a significant number of other disease categories.”

Ontrak Acquires Science-Backed, Behavior Change Platform LifeDojo

Ontrak Acquires Science-Backed, Behavior Change Platform LifeDojo

What You Should Know:

– Ontrak acquires LifeDojo Inc, a San Francisco, CA-based
comprehensive, science-backed behavior change platform.

– The acquisition broadens Ontrak’s addressable market
and footprint to lower acuity populations enabling new interventions and remote
patient monitoring.


Ontrak, Inc., a
leading AI-powered
and telehealth-enabled,
virtualized healthcare company, today announced that it has acquired
LifeDojo Inc, a comprehensive, science-backed behavior change platform.
Financial details of the acquisition were not disclosed.

Behavior Change Platform for Consumers and Employers

Founded in 2013, LifeDojo is a platform that makes
transformative life changes possible for members in over 16 countries.
Supported by decades of public health research, the LifeDojo approach to
member-centric behavior change delivers lasting health improvement outcomes,
high enrollment, and better engagement than traditional programs. Clients
include Fortune 500 companies and high-tech, high-growth organizations who use
LifeDojo’s 32 behavior change modules.

COVID-19 Spawns Mental Health Surge

The Journal of the American Medical Association (JAMA) this month reported accumulating evidence of a “second wave” mental health surge that will present monumental challenges for an already greatly strained mental health system and individuals at high risk for mental health disorders such as anxiety, depression, and post-traumatic stress. A June 2020 survey from the Centers for Disease Control and Prevention of 5,412 US adults found that 40.9% of respondents reported “at least one adverse mental or behavioral health condition,” including depression, anxiety, posttraumatic stress, and substance abuse, with rates that were three to four times the rates one year ago.

4 Ways LifeDojo Acquisition Advances Ontrak’s Growth
Strategy

With the coronavirus pandemic rapidly increasing demand for
“telemental” health solutions, the acquisition of LifeDojo is expected to
advance the Ontrak growth strategy in four ways:

First, the acquisition adds a technology-first,
digital business deployed by blue chip customers in the employer space.

Second, LifeDojo enhances Ontrak’s market-leading
behavioral health engagement capabilities for new and existing customers, with
the addition of the LifeDojo digital tools that drive member value and lower
cost. The combination of behavioral health coaching and digital app-based
solutions meets accelerated payer demand for a comprehensive suite of
behavioral health services and solutions.

Third, the LifeDojo platform increases the company’s
addressable market by enabling the creation of lower cost, digital
interventions across behavioral health and chronic disease populations.

Fourth, LifeDojo’s member-facing apps enable remote
patient monitoring capabilities, initially focused on member reported data,
that will feed Ontrak AI capabilities and further personalize Ontrak’s
evidence-based coaching.

“As a public company and leader in virtualized healthcare, Ontrak is uniquely positioned to attract companies, products and technologies that expand our value proposition and footprint with health plan and employer partners. We will endeavor to make additional strategic purchases that expand our addressable market and maximize customer value. LifeDojo and these other intended acquisitions can possibly expand our total addressable $33.7 billion market by up to 100%,” said Mr. Terren Peizer, Chairman and CEO of Ontrak.

Teladoc Health Completes Merger with Livongo

Teladoc Health Completes Merger with Livongo in Under 3 Months

Telehealth
leader Teladoc Health today announced
it has completed its merger with Livongo
in just under three months. Here are things to know about the completion: Under
the terms of the merger,
Livongo shareholders will receive 0.5920x shares of Teladoc Health plus cash of
$11.33 for each Livongo share (including the special dividend declared by
Livongo).

The company expects to directly deliver more than 10 million
virtual visits this year and has reported an additional three million enabled
visits for its health system clients so far in 2020.

“Both Teladoc Health and Livongo were founded with the same mission: to create a new kind of healthcare experience, one that empowers people everywhere to live their healthiest life. Today’s news dramatically accelerates our ability to make this a reality for the tens of millions of consumers and healthcare professionals we serve around the world,” said Jason Gorevic, chief executive officer of Teladoc Health. “Together, our team will achieve the full promise of whole-person virtual care, leveraging our combined applied analytics, expert guidance and connected technology to deliver, enable and empower better health outcomes.”

Medidata Acquires Digital Biomarker Business of MC10 / Clinical Trials & Wearable Sensors

Medidata Acquires Digital Biomarker Business of MC10 / Clinical Trials & Wearable Sensors

What You Should Know:

– Clinical trials technology company Medidata has
acquired the digital biomarker business of MC10.

– MC10’s offerings will bring novel clinical analytics
and biosensor capabilities to Medidata’s existing technology solutions,
enhancing Medidata’s capabilities to integrate data from wearable sensors –
including clinical grade metrics – in clinical trials.

– With this acquisition, Medidata’s integrated offering
will help provide life sciences companies and device developers with greater
understanding of diseases, transformational therapies, and novel endpoints.


Medidata,
a Dassault Systèmes company, the global leader in creating end-to-end solutions
to support the entire clinical development process, acquired
the digital biomarker business of MC10. MC10’s offerings will bring novel
clinical analytics and biosensor capabilities to Medidata’s existing Patient Cloud solutions
in ePRO (patient-reported outcomes), eCOA (clinical outcome assessments), and
biomarker discovery. This will enhance Medidata’s capabilities of integrating data from
wearable
sensors – including clinical grade metrics – to help
customers successfully virtualize clinical trials.

MC10 Background

MC10 is a Lexington, MA-based privately held
company focused on improving human health through digital solutions. The
company combines conformal BioStamp sensors with clinical analytics to unlock
novel insights from physiological data collected from the home or in clinical
settings. The company flagship product, BioStamp nPoint, is intended for the
clinical research community.

Why It Matters

Remote, patient-centered technologies have become
an essential part of clinical research, especially in the age of COVID-19; the
physical restrictions placed on patients and clinical sites caused by the
pandemic can interfere with launching a clinical study and carrying it to
completion. Wearable sensors are used in about 15 percent of studies, and the
use of sensors is expected to grow to approximately 70 percent by 2025.* 

Medidata leads the industry in building and integrating new technologies to revolutionize clinical research in pursuit of patient-centric therapy development. MC10’s focus on clinical-grade data capture and novel digital biomarker development represents an important next chapter – advancing the understanding of disease progression and treatment effect in the home. 

“Medidata is excited to add the pioneering work at MC10 to our ongoing efforts in building a new platform for ingestion and analytics across a wide array of mobile sensors,” said Anthony Costello, senior vice president, Mobile Health, Medidata. “Incorporating remote biometric data capture and analysis that includes the MC10 nPoint Biostamp, alongside other leading mobile devices, will further strengthen the Medidata platform and help propel the digital transformation of life sciences.”

Acquisition Builds Integrated Offering

An integrated Medidata offering will provide research companies and device developers new and innovative ways to collect, normalize, and analyze data in pursuit of new therapy development. This enhanced capability will also create a closer connection between patients and the ecosystem of trailblazing researchers, practitioners, and life science companies committed to deepening a shared understanding of the disease, transformational therapies, and novel endpoints.

“Medidata is an exceptional fit for MC10. Our combined expertise will help customers and partners take a more data-driven approach to bringing targeted therapies to patients,” said Ben Schlatka, co-founder and CEO, MC10. “We are looking forward to moving ahead together, accelerating the development and deployment of new innovative offerings for our customers and ultimately transforming therapy development to improve the lives of patients.”

RLDatix Acquires Verge Health to Accelerate Proactive Risk Mitigation in Healthcare

RLDatix Acquires Verge Health to Accelerate Proactive Risk Mitigation in Healthcare

What You Should Know:

– RLDatix acquires Verge Health, creating
the largest safety-led compliance and credentialing software platform specifically
designed for healthcare.

– The acquisition will accelerate the adoption of RLDatix’s applied safety intelligence framework and create an industry-standard for proactive risk mitigation.

RLDatix, the leading global provider of intelligent patient safety solutions, announced today that it has acquired Verge Health, the recognized best-in-class credentialing software provider. This acquisition joins two leaders in the Governance, Risk, and Compliance (“GRC”) healthcare software market and will dramatically accelerate an essential shift from a reactive approach to risk management to one rooted in safety and prevention. The acquisition is effective immediately.

Medical errors
remain the third leading cause of death in the U.S., and the World Health Organization
estimates that adverse events due to unsafe care rank as one of the top 10 causes of death and disability around the world. These adverse, yet
preventable, events are incredibly costly and account for an estimated 15
percent of all hospital expenditures across OECD countries.

Creating Industry Standard for Proactive Risk Mitigation in Healthcare

RLDatix is the only
provider that partners with healthcare delivery organizations globally to provide a comprehensive
view of enterprise risk through a safety-first lens. With this acquisition, RLDatix unifies the four
key pillars of GRC under one roof: Safety, Compliance, Provider Management,
and Strategic Advisory Services. By elevating conversations about compliance,
credentialing, safety, and risk to the enterprise level, RLDatix helps leaders make
the systemic changes necessary to achieve true harm reduction in a way that
will transform the delivery of care.

“Healthcare’s traditionally siloed approach to risk management, patient safety, provider management, and compliance has limited the ability for organizations to mitigate avoidable harm,” said Jeff Surges, CEO of RLDatix. “With Verge Health, we are unifying at an enterprise level all of the tools necessary to recognize flawed practices and prevent adverse events. This acquisition represents an enormous acceleration of Applied Safety Intelligence and solidifies our position as the global leader in patient safety software at a time when accreditation organizations like The Joint Commission are expected to take more active steps to reduce adverse events.”

Why It Matters

The timing of the acquisition is important. Hospital safety has been under a microscope
all year as millions of Americans have avoided non-emergency medical care for fear of contracting COVID-19, impacting public health and costing
providers billions in lost revenue. Health systems that want
to make their facilities and procedures safer need a partner who can show them
how to minimize risk through an enterprise-wide approach that addresses all of the potential pitfalls. This a model that has been widely
accepted outside health care but scarcely so within medicine—until now.

With the added
provider management, compliance, and analytics solutions of Verge, RLDatix offers healthcare delivery and insurance companies a clear path forward to
strengthen trust, capture revenues and to prevent the occurrence of adverse safety events. 

“We’re excited to adopt RLDatix’s Applied Safety Intelligence framework and bring together several of our disparate processes,” said Sherri Hess, Chief Nursing Informatics Officer of Banner Health. “The opportunity to have two key vendors join forces so that our safety and provider data, CANDOR training, and oneSOURCE documentation can be united to drive our high reliability efforts is paramount in ensuring we continue to drive safe, efficient healthcare.”

Financial details of the acquisition were not disclosed.

Corrona Acquires Virtual Patient Community HealthUnlocked

Corrona Acquires Virtual Patient Community HealthUnlocked

What You Should Know:

– Nationwide disease registry Corrona has acquired
virtual patient community HealthUnlocked, creating a first-in-class patient
experience ecosystem.

– The acquisition will enable Corrona to expand its broad
set of capabilities–ranging from highly granular and longitudinal structured
data across eight registries.


Corrona, LLC 
(“Corrona”),
a nationwide disease registry and is now the largest
registry in the world collecting data on Rheumatoid Arthritis (RA), today
announced it has acquired
London-based HealthUnlocked, the
world’s largest virtual patient community.  

Acquisition Will Establish Innovative Snapshot of Patient

Founded in 2010, HealthUnlocked leverages an innovative
social platform to connect 1.3 million patients, representing over 300 disease
states and conditions with more than 500 patient advocacy groups. Corrona’s
investment in HealthUnlocked helps to further expand the patient engagement
offerings that began in late 2019 with Corrona’s acquisition of HealthiVibe, a recognized leader in
patient experience and engagement. HealthUnlocked provides an additional
dimension of cultivated data by leveraging a social network of 1.3 million
patients across hundreds of condition-specific communities, moderated by over
500 patient advocacy groups, capturing insights to better understand what
matters most to these patients. HealthUnlocked will be integrated into
Corrona’s HealthiVibe business unit to establish an innovative and holistic
snapshot of the patient. 

By building out its patient experience business, Corrona is working to create an industry-leading ecosystem centered around the patient voice. This ecosystem directly supports both the 21st Century Cures Act and the FDA’s Patient-Focused Drug Development initiative, and establishes Corrona as a leader in patient insights and real-world evidence with both a scalable technology platform and short- and long-term outcomes and safety data. This data powerhouse is the first of its kind to provide such a wholistic, 360⁰ degree view of a patient while ensuring data integrity. 

“By combining with HealthUnlocked, we are expanding our broad set of capabilities–ranging from highly granular and longitudinal structured data across our eight registries, to broader patient insights from HealthUnlocked,” said Abbe Steel, Chief Patient Officer of Corrona. She continued, “The HealthUnlocked communities provide access to engaged patients across the globe, allowing us to better understand the patient experience and what matters most to patients. Our organization is positioned to expand its expertise in gathering, analyzing, and applying deep patient insights to optimize the patient journey and bring significant value to our clients.”

Press Ganey Acquires Doctor.com, Acquires Majority Stake in Binary Fountain

Press Ganey Acquires Doctor.com, Acquires Majority Stake in Binary Fountain

What You Should Know:

– Press Ganey advances the healthcare consumerism movement with acquisitions of Doctor.com and a majority stake in Binary Fountain.

– Expanded technology platform enables industry-leading
management of providers’ online brand and seamless Web-wide patient acquisition
and loyalty strategies.


Press Ganey today
announced the expansion of its market-leading health care consumerism platform
with the acquisitions
of Doctor.com and a majority equity stake
in Binary Fountain. These acquisitions create the largest health care
consumerism platform in the industry that offers an unmatched opportunity for
health systems and providers to drive digital patient acquisition, retention,
and reputation management strategies that will deliver new levels of growth and
loyalty.


Set Up Your Virtual Practice in 5 Minutes or Less with
Doctor.com’s Turnkey Solution

Founded in 2013, Doctor.com provides the critical
infrastructure and integrations necessary to enable modern digital experiences
for patients. Doctor.com clients benefit from best-in-class provider data,
robust physician and patient engagement tools, and seamless integrations with
the most prominent health care directories, search engines, social media
platforms, and EHR/PM systems. As a result, thousands of clients, including
200+ leading hospitals and health systems, 30,000+ private practices, and
leading brands in the life sciences industry, have been empowered by Doctor.com
to enhance their digital presence and credibility, increase patient trust, and
grow their business.


Why It Matters

The COVID-19 crisis radically disrupted the health care
industry and altered consumer behavior. The result was massive growth in
telehealth services, with Press Ganey administering more than 15 million
telemedicine surveys year to date. Coupled with more than 71% of patients
seeking physician reviews online and 70,000 health-related Google searches each
minute, these fundamental shifts have escalated the need for health care
providers to enhance and streamline the online healthcare customer experience.

“This acquisition is game-changing for the industry. By pairing data and insights from Press Ganey’s 472 million consumer surveys a year with next-generation technology, health care organizations can finally unite their patient experience and patient acquisition efforts within one powerful platform. This unified solution drives performance improvement, accelerates transparency initiatives, and improves the patient experience,” said Andrei Zimiles, co-founder and CEO, Doctor.com. “As patients continue to ‘shop’ for care in increasingly competitive digital channels, this groundbreaking new platform from three pioneers in the consumerism space gives health care organizations the edge they’ve been looking for.”

Financial details of the acquisition were not disclosed.

WellSky Acquires CarePort Health from Allscripts for $1.35B

WellSky Acquires CarePort Health from Allscripts for $1.35B

What You Should Know:

– Health technology leader WellSky has agreed to acquire
CarePort Health to power coordinated care transitions for acute and post-acute
care patients for $1.35B.

– By providing end-to-end visibility across the
continuum, WellSky and CarePort can improve outcomes, lower costs, and increase
patient satisfaction.


WellSky, a global health, and community care technology company, announced today that it has entered into a definitive agreement with Allscripts to acquire CarePort Health (“CarePort”), a Boston, MA-based care coordination software company that connects acute and post-acute providers and payers.


Financial Details

The agreed sale price of $1.35 billion represents a multiple
of greater than 13 times CarePort’s revenue over the trailing 12 months, and
approximately 21 times CarePort’s non-GAAP Adjusted EBITDA over the trailing 12
months. CarePort is included in Allscripts Data, Analytics and Care Coordination
reporting segment and represents approximately 6% of Allscripts consolidated
revenues. Reference should be made to the Allscripts quarterly earnings reports
and supplemental financial data for a reconciliation of non-GAAP Adjusted
EBITDA. William Blair and J.P. Morgan Securities, LLC acted as financial
advisors to Allscripts in connection with the sale of CarePort.


Acquisition Enhances Care Coordination Across Acute,
Post-Acute Continuum

As part of the acquisition, WellSky and CarePort will facilitate effective patient care transitions across the continuum — driving better outcomes for patients, providers, and payers. With the addition of CarePort, WellSky is uniquely positioned to manage the acute care discharge process, track patients across post-acute care settings, apply patient and population-level analytics, and support EMR-based care protocols.

CarePort’s EHR-agnostic suite of solutions connects the
discharge process with post-discharge care coordination — allowing providers
and payers to track and manage patients throughout their care journey. By
providing end-to-end visibility across the continuum, WellSky and CarePort can
improve outcomes, lower costs, and increase patient satisfaction.


“As part of the WellSky team, we will be able to accelerate our mission to connect providers across the continuum. Both of our organizations are aligned in our dedication to proactively bridging gaps in care. Together, we have the technology, analytics, and network to ensure that patients receive seamless care,” said Dr. Lissy Hu, CEO of CarePort. “Joining WellSky means that we can increase vital connections between acute, post-acute, and community care providers to make a meaningful difference in the lives of more patients in more places.”


With WellSky’s deep experience in post-acute care and
CarePort’s suite of care coordination solutions, this combination is a natural
fit. CarePort clients will gain access to a broader network of post-acute
providers and can leverage WellSky’s powerful predictive analytics suite, and
leading value-based care technologies. This combination of capabilities will
enable health systems, payers, and post-acute providers to more effectively
collaborate in a data-driven way and enhance patient outcomes.


“Together with CarePort, WellSky will establish new, meaningful connections between historically disparate settings of care. We have the exciting opportunity to bring care coordination to more providers in service of delivering more informed, personalized care,” said Bill Miller, CEO of WellSky. “Through this agreement, we’re ensuring our clients have the intelligent technology they need to do right by their patients, collaborate with payers, and succeed in value-based care models. It’s WellSky’s mission to realize care’s potential, and this moves us that much closer to achieving it.”


TrustHCS, Visionary RCM, T-System, RevCycle+ Merge to Form New Entity CorroHealth

TrustHCS, Visionary RCM, T-System, RevCycle+ Merge to Form New Entity CorroHealth

What You Should Know:

– CorroHealth – a newly-formed entity – combines the services and technologies of TrustHCS, Visionary RCM, T-System, and RevCycle+.

– Under this new entity, CorroHealth is committed to
helping clients navigate regulatory compliance complexities, ease physician burdens
and improve financial outcomes.


Today, four revenue cycle management services and technology organizations have merged together as a newly-formed entity—CorroHealth. TrustHCS, Visionary RCM, T-System, and RevCycle+ have joined forces to provide a greater breadth of reimbursement cycle, risk adjustment, and quality solutions to health systems and payers.

What is CorroHealth?

CorroHealth—driven by helping clients navigate regulatory and
compliance complexities, ease physician burdens and improve financial
outcomes—emerges at a time when financial health is particularly important for
health systems and payers. CorroHealth combines the industry-leading domestic
middle revenue cycle group of TrustHCS, with the full-service global delivery
model of Visionary RCM, the emergency documentation technology solutions of
T-System, and the advanced coding solutions of RevCycle+.

“We knew health systems and plans would have a growing need for our solutions, so we worked hard and found a way to bring all 4,000 employees together as one company, united by our core. It’s been pretty amazing to see this joint venture come together at such a time as this,” said CorroHealth CEO Patrick Leonard.

The four legacy company names will remain through the end of
2020 with a final move to the CorroHealth name across all companies beginning
January 1, 2021.

Global investment firm The
Carlyle Group
owns a majority stake in CorroHealth, with Cannae Holdings,
Inc. (NYSE: CNNE), Sanaka Group, and affiliates of TripleTree Holdings also
serving as investors.

Sonde Health Acquires NeuroLex Lab’s Voice-Based Survey Platform

Sonde Health Acquires NeuroLex’s Voice-Based Survey Platform

What You Should Know:

– Sonde Health acquires NeuroLex Laboratories, Inc. to forms
one of the world’s preeminent biobanks focused on vocal biomarkers.

– NeuroLex’s core product, SurveyLex, makes it easy to
create and distribute voice surveys in less than a minute as URL links through
web browsers.


Sonde Health, a
Boston-based digital vocal biomarker technology platform announced it has acquired
NeuroLex Laboratories, Inc., a leading
voice-enabled survey and data acquisition platform. The
acquisition brings together two of the leading forces in the vocal biomarker
space.

Sonde will acquire NeuroLex’s popular web-enabled voice
survey and analysis platform, as well as its rich dataset, which when combined
with Sonde’s leading voice-based dataset, forms one of the world’s preeminent
biobanks focused on vocal biomarkers. In addition, merging Sonde’s mobile and
voice-assistant platforms with NeuroLex’s web-based capabilities will enable
the delivery of voice-enabled heath detection and monitoring over any platform.

Democratizing Voice Computing

Over the past two years, NeuroLex has built one of the
largest laboratories in the world to collect, label, and model voice data
tagged with health conditions comprised of over 40 research fellows across 12
universities that have published over 5 peer-reviewed journal articles.
NeuroLex’s core product, SurveyLex, makes it easy to create and distribute
voice surveys in less than a minute as URL links through web browsers. With
this product, NeuroLex has curated a biobank comprised of over 500,000 voice samples
from over 30,000 individuals alongside a host of pharmaceutical and academic
partners. 

Acquisition
Benefits for Sonde

“At Sonde, we have unlocked voice as a new vital sign to enable secure, accessible, and non-intrusive monitoring of health. Incorporating NeuroLex’s impressive work in voice-based surveys and research moves us significantly forward in becoming the one-stop shop for health condition detection and monitoring through voice,” said David Liu, CEO of Sonde Health. “NeuroLex’s voice-based survey platform and biobank will accelerate our research and development, and our collection and analysis of high-quality voice data, bolstering all the products we provide to our customers.”

Sonde’s proprietary technology works by sensing and
analyzing subtle changes in the voice due to changes in a person’s physiology.
The company’s respiratory and depression health checks are available
today. 

As part of the acquisition, Jim Schwoebel, the chief executive
officer of NeuroLex, will join Sonde’s leadership team as Vice President, Data
and Research.

“I am thrilled to bring Jim and his team on board,” continued Liu. “His experience in building NeuroLex, shared mission of using vocal biomarkers to move healthcare forward, and expertise in building large voice-based datasets and machine learning make Jim a tremendous addition to the Sonde team.”

Financial details of the acquisition were not disclosed.

Experity Acquires Reputation Management Platform Calibrater Health

Experity Acquires Reputation Management Platform Calibrater Health

What You Should Know:

– Experity, a provider of urgent care health IT, has
acquired feedback management solutions company- Calibrater Health.

– Through the acquisition, Experity will expand its patient engagement HIT platform by fully integrating Calibrater’s reputation management functionalities like AI-powered issue tracking, SMS patient surveys, and enhanced performance insights.


Experity, a provider
of clinical and practice management software to the urgent care space, today
announced that it has acquired Calibrater Health, a provider of feedback management
solutions. 
The acquisition enables Experity to strategically expand
its industry-leading patient engagement offering with reputation management
capabilities tailor-made to meet the needs and demands of the rapidly growing
urgent care industry.

Patient Experience Top Priority for Urgent Care

The patient experience is top priority for providers in the
urgent care space. While a positive experience largely depends on efficient and
seamless care delivery, equally important are clinics’ patient engagement and
reputation management capabilities designed specifically for the urgent care
industry.

“Delivering a positive patient experience is the lifeblood of the urgent care market, so joining forces with a leader in feedback management like Calibrater Health is the right step in Experity’s continued growth,” said David Stern, CEO of Experity. “The urgent care industry continues to redefine what the patient experience can look like. We are committed to evolving alongside our providers to ensure that we will always meet their needs.”

Calibrater Health’s feedback management technology contributes
to a seamless patient experience through:

– Reputation management

– AI-powered issue tracking

– Text-based patient surveys

– Net promoter score (NPS)

– Team scorecards and engagement

– Performance insights

Acquisition Expands Patient Engagement Platform

In combination with Experity’s intuitively designed
workflows and critical load-balance and reporting capabilities, the new
features will deliver a more robust patient engagement platform. As a result,
clinics can provide a smoother patient experience from the patient’s initial
online search, to post-visit follow-up, to their future urgent care visits.

A seamless patient experience
requires connected, integrated technology. However, urgent care clinics have
traditionally had to rely on multiple, disparate platforms to get all the
functionalities needed to manage the various elements of the business. This
acquisition fully integrates crucial technological functionalities and data
collected across all workflows within an urgent care business, including
patient feedback and clinical data. As a result, over 50% of US clinics that
use Experity and Calibrater solutions will now have all the capabilities and
insights they need in one interface to provide a truly seamless patient
experience.

“Joining two leaders with different areas of expertise in urgent care technology brings immense value to urgent care providers who are tired of having to work across disconnected technology platforms and vendors to get what they need,” said Tim Dybvig, CEO of Calibrater Health. “With this integration, clinics using Experity or Calibrater solutions now have all the capabilities and insights they need in one interface to provide a truly seamless patient experience.”

emids Acquires Payer IT Consulting Firm FlexTech

emids Acquires Payer IT Consulting Firm FlexTech

What You Should Know:

– emids – a leader in digital engineering and
transformation solutions for the healthcare and life sciences industries –
today announced the acquisition of Nevada-based FlexTech, a payer IT consulting
firm recognized by KLAS as a category leader.

– The FlexTech deal will drive expanded channel
partnership opportunities for emids among leading core platform vendors and
position emids as the go-to partner for advancing adoption of new digital
business models.


emids, a Nasvhille, TN-based provider of digital engineering
and transformation solutions to the healthcare and life sciences industry, today
announced it has acquired FlexTech, an Incline Village, NV-based
information technology
consulting company with deep expertise in leading payer core administration and population health platforms, in a deal that closed late last month. The partnership, driven by heightened urgency for health
plans to adopt breakthrough digital-based strategies, enhances emids’ ability
to help its clients accelerate their digital transformation journeys.

Acquisition Benefits for emids

The acquisition is part of emids’ purposeful growth plan and comes on the heels of a strategic equity investment earlier this year from the Blue Venture Fund, a majority investment last fall from New Mountain Capital. The FlexTech deal will drive expanded channel partnership opportunities for emids among leading core platform vendors and position emids as the go-to partner for advancing the adoption of new digital business models. FlexTech, a KLAS 2020 category leader in payer IT consulting services, brings a proven and experienced team of 120+ subject matter experts, each with an average 20 years of experience in managed care, core administration and population health platforms, and strong partner relationships with the leading healthcare payer technology vendors.

“The need for deep domain expertise combined with digital transformation capabilities is vital as our payer and ‘payvider’ clients expand their government-sponsored business lines, and we’re excited to bring our clients the proven payer platform expertise that FlexTech has built over 30+ years, delivering more than 250 core platform implementation programs,” said emids Founder and CEO Saurabh Sinha.

Financial details of the acquisition were not disclosed.

Vocera Acquires Secure Communications Platform EASE Applications

Vocera Acquires Secure Communications Platform EASE Applications

What You Should Know:

– Today Vocera Communications acquires EASE Applications,
a provider of a secure communication platform and mobile application that
delivers updates, messages to patients’ loved ones, during surgeries and at
other times.

– The Orlando-based EASE offers a cloud-based service
that is built to improve the patient experience by enabling friends and family
members to receive timely updates about the progress of loved ones in the
hospitals. Care team members can send a patient’s loved ones HIPAA-compliant
texts, photos, and video updates putting them at ease and saving valuable time.


Vocera Communications,
Inc., 
a provider of clinical communication and workflow solutions,
today announced that it has acquired
EASE (Electronic Access to Surgical
Events),
based in Orlando, FL. EASE offers a cloud-based communication
platform and mobile application built to improve the patient
experience by enabling friends and family members to receive timely updates
about the progress of their loved one in the hospital. The EASE app
enables nurses and other care team members to send HIPAA-compliant texts,
photos, and video updates to patients’ loved ones, putting them at ease and
saving valuable time.

Patients can add friends and family members to their distribution list; and with a simple tap, caregivers can keep them informed and ease their concerns. Messages, pictures, and videos sent disappear 60 seconds after being viewed, and nothing is saved on the mobile device, providing an additional layer of security and privacy. The application also provides secure two-way video conferencing between patients’ families and care teams. Additionally, EASE enables care team members to customize in-app surveys, offering a quick way to track and improve patient engagement and satisfaction in real-time, and giving feedback and support for the caregivers.

Return on Investment

With more than 1.6 million sent messages, the EASE
application has demonstrated improved patient and family satisfaction and
reduced the number of phone calls from loved ones to the hospital. In one study
with approximately 2,500 family members, 98% said that EASE reduced their
anxiety, and 81% reported that the availability of EASE would influence their
choice of hospital. Additionally, patient satisfaction scores increased by an
average of 6% for patients who used EASE compared to patients who did not use
the application.

Issuance of Restricted Stock Units

As part of the onboarding process, Vocera will issue
restricted stock units totaling approximately 60,000 shares of Vocera common
stock to approximately eleven employees of EASE. These restricted stock units
will vest over three years after the closing and will be made from an
inducement plan adopted by the company’s board of directors pursuant to the
inducement exemption provided under the NYSE listing rules.

Change Healthcare Acquires Cloud-Native Imaging Platform Nucleus.io

Change Healthcare Acquires Cloud-Native Imaging Platform Nucleus.io

What You Should Know:

– Change Healthcare acquires Nucleus.io to create the first of its kind end-to-end, cloud-native Enterprise Imaging to integrate Change Healthcare’s next-generation medical imaging platform.

– The acquisition will accelerate Change Healthcare’s
timeline to implement a complete cloud-based, end-to-end Enterprise Imaging
solution with customers by leveraging the 7,500+ organizations Nucleus.io
currently serves.


Change Healthcare (Nasdaq: CHNG) today announced the acquisition of Nucleus.io, a leader in the development of advanced, fully enabled, cloud-native imaging, and workflow technology. Nucleus.io’s state-of-the-art, cloud-native imaging technology, including a zero-footprint diagnostic viewer with patented streaming technology, workflow, and image sharing solutions, completes Change Healthcare’s next-generation medical imaging platform.

Medical Image Exchange Solution

Nucleus.io ingests, stores, routes, and provides lightning-fast access – from just about anywhere – to all medical images regardless of file size. Nucleus.io’s market-leading medical image exchange solution is utilized by over 7,500 organizations across the U.S., with approximately 150 new organizations onboarding each month. Their advanced, fully enabled, cloud-native imaging technology includes a zero-footprint diagnostic viewer with patented streaming technology, workflow, and image sharing solutions, and more.

“We began our journey eight years ago with the goal of improving patient care by using the power of the web to make medical imaging instantly accessible to patients, providers, and hospitals,” said Dr. Vishal Verma, chief executive officer, NucleusHealth. “Change Healthcare was the clear choice when searching for an organization to deliver our technology to the world. We couldn’t be happier about the opportunity to have Change Healthcare bring our unified vision to light.”

Acquisition Creates Complete Cloud-based, End-to-End
Enterprise Imaging Solution

Today’s acquisition supports Change Healthcare’s commitment
to focus on and invest in core aspects of the business to fuel long-term growth
and advance innovation. This will accelerate Change Healthcare’s timeline to
implement a complete cloud-based, end-to-end Enterprise Imaging solution with
customers. Nucleus.io expands Change Healthcare’s addressable market by
leveraging the over 7,500 organizations Nucleus.io currently serves.

Change Healthcare’s Enterprise Imaging Network (EIN) is the
first of its kind, fully managed, cloud-native platform. The foundations of the
platform, including its Archive and Analytics applications, have been
successfully delivered to the market as a cloud-native solution. The
combination of both companies’ technologies and experienced teams will enable
physicians to read, diagnose, and collaborate from anywhere, reduce IT
complexities, and leverage data and Artificial Intelligence (AI) to improve
outcomes.

Why It Matters

“Now more than ever, customers are seeking ways to lower cost, reduce complexity, protect their patient data, and deliver the best care possible. Our next-generation Enterprise Imaging Network platform helps meet those needs in ways not previously possible and delivers exceptional value to our customers,” said Tracy Byers, senior vice president and general manager, Enterprise Imaging, Change Healthcare. “This transaction will accelerate the realization of our vision and the innovation our industry has been waiting for.”

Financial terms of the acquisition were not disclosed.

Former KKR Vet Jim Momtazee Launches Healthcare Investment Firm, Patient Square Capital

Jim Momtazee and Maria Walker form health care investment firm Patient Square Capital
Jim Momtazee,
Managing Partner at Patient Square Capital

What You Should Know:

– Former KKR veteran Jim Momtazee announced the launch of
Patient Square Capital, a partnership being purpose-built to become the
preeminent investment firm in healthcare. 

– Patient Square will partner with best-in-class
management teams whose products, services, and technologies improve
health. 

– Prior to Patient Square, he spent over 21 years
at KKR, initially joining in 1996. He helped establish the firm’s health
care industry group in 2001 and subsequently was Head of the Americas Heath
Care Team for over 10 years.


Private equity veteran Jim Momtazee, today announced the
formation of healthcare investment firm, Patient Square Capital.  Patient
Square will partner with best-in-class management teams whose products,
services, and technologies improve health. The Patient Square team has a shared
vision to create an investment firm capable of managing large pools of capital
and with the expertise to meet the considerable and critical needs of the health
care world. 

Jim Momtazee Background

Mr. Momtazee is the Managing Partner of Patient
Square. He is a 21-year veteran of KKR, where he helped form its
Health Care Industry Group in 2001 and subsequently led the group for over 10
years.

In that role, he managed a team of over 20 dedicated health
care professionals overseeing five different health-care-related investment
strategies including private and growth equity.  He was a member of the
Americas Private Equity Investment Committee beginning in 2013 and was Chairman
of both the Health Care Strategic Growth and Health Care Royalty & Income
Investment Committees. 

Among the major health care investments made during Mr.
Momtazee’s tenure at KKR was Jazz Pharmaceuticals (2004); HCA (2006),
a $33 billion transaction which at the time was the largest cash buyout in
history; PRA Health Sciences (2013); and BridgeBio Pharma (2016). Mr. Momtazee
currently serves on the Boards of Directors of BridgeBio, PRA Health Sciences
(lead independent director), and the Medical Device Manufacturers Association.
He previously served on the Boards of Directors of Ajax Health, Alliance
Imaging, Arbor Pharmaceuticals, BrightSpring Health Services, Covenant Surgical
Partners, EchoNous, Entellus Medical, Envision Healthcare, Global Medical
Response, HCA, Heartland Dental, Jazz Pharmaceuticals, Lake Region Medical, and
Spirox.

Maria Walker to Serve as CFO

Mr. Momtazee is joined by Maria Walker, Partner & Chief
Financial Officer of Patient Square.  Ms. Walker has extensive experience
across private equity and health care, including 17 years at KPMG where she
served as a senior partner and a global lead in its private equity
practice.  

Patient Square Capital Investment Focus

Patient Square intends to build a distinctive and diverse
partnership with deep health care experience and a shared commitment to build a
world-class investment firm.  Patient Square will seek opportunities to
invest broadly across the healthcare industry, including technology-enabled
services, biopharmaceuticals, the pharmaceutical value chain, medical devices,
diagnostics, providers, digital health
and consumer health.


Waystar Acquires Medicare RCM Company eSolutions at $1.3B Valuation

Waystar Acquires Medicare RCM Company eSolutions at $1.3B Valuation

What You Should Know:

– Revenue cycle management provider Waystar acquires eSolutions, a provider of Medicare and Multi-Payer revenue cycle management, workflow automation, and data analytics tools at a $1.3B valuation.

– The acquisition will create the first unified
healthcare payments platform with both commercial and government payer
connectivity, resulting in greater value for providers.


Waystar, a provider of healthcare payments software, today
announced a definitive agreement to acquire Francisco Partners-backed eSolutions, a revenue cycle
technology company with unique Medicare-specific solutions at a $1.3B valuation,
according to sources close to the deal. In bringing these two industry leaders
together, Waystar will be the first technology to unite both commercial and
government payers onto a single payments platform. The transaction is expected
to close later this year, subject to customary conditions and approvals.

eSolutions Background

Founded in 1999, eSolutions’ technology maximizes revenue
collection, accelerates cash flow, and reduces administrative burden across
numerous sites of care. The company has over 6,000 payer connections and
maintains a powerful and growing data set of billions of transactions. In addition
to hospitals and ambulatory providers, eSolutions has deep expertise in serving
the post-acute market across the entire revenue cycle, including skilled
nursing, senior living facilities, home care, hospice, federally qualified
healthcare centers (FQHCs), and durable medical equipment providers. eSolutions
is backed by Francisco Partners.

“eSolutions is thrilled to be joining forces with Waystar, a company like ours that relentlessly focuses on delivering exceptional customer service,” said Gerry McCarthy, Chief Executive Officer of eSolutions. “The combination of our technology platforms and data solves a major pain point in revenue cycle management to drive stronger results for our clients, partners, and for healthcare.”

Acquisition Creates Unified Healthcare Payments Platform 

Medicare has become the largest payer in the United
States and as baby boomers age, the mix of insurance coverage is
increasingly shifting to Medicare. Historically, providers have had to leverage
two different systems – one to handle commercial claims, and another to handle
Medicare. For healthcare providers, leveraging a single, end-to-end platform to
manage both private and government payments solves a major pain point and
creates significant efficiencies, freeing up time to deliver care.

“Together, Waystar and eSolutions will deliver unprecedented innovation to the industry, helping healthcare organizations accelerate revenue collection while reducing administrative expenses and repetitive tasks,” said Matthew Hawkins, Chief Executive Officer and board member of Waystar. “Uniting our companies’ data sets will further power Waystar Hubble, our artificial intelligence solution, providing access to even greater insights and value for our clients. We have long-admired eSolutions for its unique Medicare-specific revenue cycle capabilities, which are a perfect complement to the Waystar platform. We are excited to move forward as one team.”

6th Waystar Acquisition Since 2018

Waystar has integrated several other transformational
technologies onto its single instance cloud-based platform since uniting
Navicure and ZirMed in 2017. This marks Waystar’s sixth acquisition in the last
couple years, as the company rapidly expands within the space (not including
their own $2.3B acquisition by two private equity firms last year). 

Recent acquisitions include Recondo, a patient estimation and prior authorization
technology, PARO, a presumptive charity scoring solution, UPMC’s Ovation, a claims monitoring tool, and Connance, leveraging predictive analytics to offer agency
manager, advanced propensity to pay (AP2P), and presumptive charity. Waystar is
backed by EQT, Canada Pension Plan Investment Board, and Bain Capital.

Cone Health to Merge with Sentara Healthcare Totaling $11B in Assets

Cone Health to Merge with Sentara Healthcare Totaling $11B in Assets

What You Should Know:

– Cone Health has signed a letter of intent to merge with
Norfolk, Virginia-based Sentara Healthcare for a combined $11B in assets.

– The merger creates one large health system totaling of
17 hospitals – 11 Sentara hospitals in Virginia and one in Elizabeth City,
N.C., and five Cone Health hospitals in the area surrounding Greensboro.


Cone Health has signed a letter of intent to merge with Norfolk, Virginia-based Sentara Healthcare. The merger will create a combined organization with a unique value-based approach that is focused on keeping people healthy and well, while providing high-quality, accessible and affordable health care in more ways and in more places. The Cone Health Board of Trustees voted unanimously to move forward with this letter of intent.

Cone Health, a not-for-profit integrated healthcare network
consists of five hospitals in North Carolina. The system employs more than
13,000 people, including nearly more than 600 physicians and advanced practice
providers, and operates more than 100 care sites. Its Medicare Advantage health
plan, HealthTeam Advantage serves 15,000 members.

“Cone Health is among the highest-quality health care organizations in the nation, and we are financially strong. With the right partner, we can build on what we’ve created and do even more for those we are privileged to serve,” says Terry Akin, CEO, Cone Health. “We have long said that Cone Health doesn’t intend to grow simply for the sake of growth. Instead, we are partnering for inspiring possibilities.”

Sentara Healthcare is an integrated, not-for-profit system
comprised of 12 hospitals in Virginia and Northeastern North Carolina. The
health system employs more than 1,200 physicians and advanced practice
clinicians, 30,000 team members and operate hundreds of sites of care. Our
Optima Health Plan and Virginia Premier Health Plan serve 858,000 members in
Virginia, North Carolina and Ohio.

Merger Impact for Community

The resulting organization would have a combined $11B in
assets, with Sentara representing about $8.7 billion in assets and Cone Health
representing $2.8B in total assets, according to 2019 audited statements.

The communities served by Cone Health and Sentara do not
overlap. As a result, the combined organization will ensure that consumers have
more choices for healthcare and insurance plans, not fewer. The merger will
deliver healthcare in more ways and more places with more options to pay for
it.

“This rapidly changing healthcare environment requires tremendous transformation and innovation to ensure the long-term success of each respective health system and, most importantly, the very best for those we are privileged to serve,” said Howard P. Kern, president and chief executive officer of Sentara Healthcare. “We can either react to change, or we can shape it. We are choosing to shape change and will lead this transformation of healthcare together.”

Next Steps

Howard P. Kern will oversee the combined organization and
the corporate headquarters will remain in Norfolk, Va., and Greensboro, N.C.,
will serve as the regional headquarters for the Cone Health division. Terry
Akin will remain in Greensboro as the president of the Cone Health division. Cone
Health representatives will join the Sentara Healthcare board, with membership
on all board committees and meaningful roles in all aspects of governance.
Additionally, there will continue to be a Cone Health Regional Board that will
be composed of community members, medical staff and Sentara representation.

The combined organization is subject to state and federal
regulatory review and customary closing conditions and is anticipated to close
in mid-2021. Following that, it is expected to take up to two years to fully
combine and integrate.

Medtronic Acquires Smart Insulin Pen Company Companion Medical

Medtronic Acquires Smart Insulin Pen Company Companion Medical

What You Should Know:

– Today, Medtronic announced that it will
acquire Companion Medical, the manufacturer of InPen, a smart insulin pen
system paired with an integrated diabetes management app.

– The addition of Companion’s InPen system builds
upon Medtronic’s strategic acquisitions of Nutrino and Klue to further
improve overall automated decision-making capabilities and optimizes dosing
decisions using algorithms and AI for patients.


Medtronic,
today announced the planned acquisition
of privately-held Companion
Medical,
manufacturer of InPen — the only U.S. FDA-cleared smart insulin
pen system paired with an integrated diabetes management app on the market. The
addition of Companion Medical’s InPen to the Medtronic portfolio
expands the company’s ability to serve people where they are in their diabetes
journey and offer them a unique and expansive ecosystem of support — regardless
of how insulin is delivered.

FDA-Cleared Smart Pen System

The InPen dose calculator recommends a personalized dose
based on your blood glucose, the carbohydrates you’re eating, and your active
insulin. The calculator is customizable — choose between three different modes
depending on whether you count carbs or not.

InPen is the only smart pen system that tracks active
insulin. At any time, you can check the app and see how much insulin is still
active in your body from previous doses. InPen uses this information to let you
know if you need a correction dose and to help you avoid stacking.

Acquisition
Expands 
Medtronic Capabilities to Serve People Using Multiple Daily Injections (MDI)
to Manage Diabetes

The acquisition of Companion Medical builds upon prior Medtronic strategic
acquisitions, including Nutrino and Klue, that form the building blocks to
design powerful algorithms leveraging the company’s deep data science and AI
capabilities. With this latest acquisition, Medtronic will work to
further advance the automation of insights and dosing capabilities to help
alleviate burden regardless of the technology that’s preferred for insulin
delivery. In addition, Medtronic will look to expand the availability
of InPen globally.

“This acquisition is an ideal strategic fit for Medtronic as we further simplify diabetes management and improve outcomes by optimizing dosing decisions for the large number of people using multiple daily injection (MDI). We look forward to building upon the success of the InPen by combining it with our intelligent algorithms to deliver proactive dosing advice personalized to each individual. This smart CGM system can help people think less about diabetes and be able to live life with more freedom, on their own terms,” said Sean Salmon, executive vice president and president of the Diabetes Group at Medtronic. ”Our goal is to become a trusted partner that offers consistent support whether an individual wants to stay on MDI, transition to automated insulin delivery or take a break from their pump.”

Financial terms of the acquisition were not disclosed. The
acquisition is expected to close within one to two months – subject to the
satisfaction of certain customary closing conditions. The transaction is
expected to be neutral to Medtronic’s adjusted earnings per share in the
current fiscal year, and accretive thereafter.

“We are thrilled to be combining our strengths and differentiated product portfolios to work towards serving even more people around the world living with diabetes in the ways that matter most to them,” said Sean Saint, CEO and co-founder of Companion Medical. “Simplifying diabetes management to reduce burden and improve outcomes has always been our goal, and through a respected global leader like Medtronic, we’ll now be able to take InPen to this next phase of growth which is great news for people with diabetes who stand to benefit most.”

Analysis: July Health IT M&A Activity; Public Company Performance

– Healthcare Growth Partners’ (HGP) summary of Health IT/digital health mergers & acquisition (M&A) activity, and public company performance during the month of July 2020.


While a pandemic ravages the country, technology valuations are soaring.  The Nasdaq hit an all-time high during the month of July, sailing through the 10,000 mark to post YTD gains of nearly 20%, representing a 56% increase off the low water mark on March 23.  More notably, the Nasdaq has outperformed the S&P 500 (including the lift the S&P has received from FANMAG stocks – Facebook, Amazon, Netflix, Microsoft, Apple, Google) by nearly 20% YTD. 

At HGP, we focus on private company transactions, but there is a close connection between public company and private company valuations.  While the intuitive reaction is to feel that companies should be discounted due to COVID’s business disruption and associated economic hardships facing the country, the data and the markets tell a different story.

While technology is undoubtedly hot right now given the thesis that adoption and value will increase during these virtual times, the other more important factor lifting public markets is interest rates.  According to July 19 research from Goldman Sachs,

“Importantly, it is the very low level of interest rates that justifies current valuations. The S&P 500 is within 4% of the all-time high it reached on February 19th, yet since that time the level of S&P 500 earnings expected in 2021 has been pushed forward to 2022. The decline in interest rates bridges that gap.”

Additionally, Goldman Sachs analysts also estimate that equities will deliver an annual return of 6% over the next 10-years, lower than the long-term return of 8%.  Future value has been priced into present value, and returns are diminished because the relative return over interest rates is what ultimately matters, not the absolute return.  In short, equity valuations are high because interest rates are low. 

What happens in public equities usually finds its way into private equity.  To note, multiple large private health IT companies including WellSkyQGenda, and Edifecs, have achieved 20x+ EBITDA transactions based on this same phenomenon.  From the perspective of HGP, this should also translate to higher valuations for private companies at the lower end of the market.  As investors across all asset classes experience reduced returns requirements due to low interest rates, present values increase across both investment and M&A transactions. 

As with everything in the COVID environment, it is difficult to make predictions with certainty.  Because the stimulus has caused US debt as a percentage of GDP to explode, there is an extremely strong motivation to keep long-term interest rates low.  For this reason, we believe interest rates will remain low for the foreseeable future.  Time will tell whether this is sustainable, but early indications are positive.

Noteworthy News Headlines

Noteworthy Transactions

Noteworthy M&A transactions during the month include:

  • Workflow optimization software vendor HealthFinch was acquired by Health Catalyst for $40mm.
  • Sarnova completed simultaneous acquisition and merger of R1 EMS and Digitech.
  • Payment integrity vendor The Burgess Group acquired by HealthEdge Software.
  • Ciox acquired biomedical NLP vendor, Medal, to support its clinical data research initiatives.
  • Allscripts divests EPSi to Roper for $365mm, equaling 7.5x and 18.5x TTM revenue and EBITDA, respectively.

Noteworthy Buyout transactions during the month include:

  • HealthEZ, a vendor of TPA plans, was acquired by Abry Partners.
  • As part of a broader wave of blank check go-public transactions, MultiPlan will join the public markets as part of Churchill Capital Corp III.
  • Also as part of a wave of private equity club deals, WellSky partially recapped with TPG and Leonard Greenin a rumored $3B transaction valuing the company at 20x EBITDA.
  • Edifecs partnered with TA Associates and Francisco Partners in another club deal valuing the company at a rumored $1.4B (excluding $400mm earnout) at over 8x revenue and 18x EBITDA.
  • Madison Dearborn announced a $410mm take private of insurance technology vendor Benefytt.
  • Nuvem Health, a provider of pharmacy claims software, was acquired by Parthenon Capital.

Noteworthy Investments during the month include:

Public Company Performance

HGP tracks stock indices for publicly traded health IT companies within four different sectors – Health IT, Payers, Healthcare Services, and Health IT & Payer Services. Notably, primary care provider Oak Street Health filed for an IPO, offering 15.6 million shares at a target price of $21/ share. The chart below summarizes the performance of these sectors compared to the S&P 500 for the month of July:

The following table includes summary statistics on the four sectors tracked by HGP for July 2020:


About Healthcare Growth Partners (HGP)

Healthcare Growth Partners (HGP) is a Houston, TX-based Investment Banking & Strategic Advisory firm exclusively focused on the transformational Health IT market. The firm provides  Sell-Side AdvisoryBuy-Side AdvisoryCapital Advisory, and Pre-Transaction Growth Strategy services, functioning as the exclusive investment banking advisor to over 100 health IT transactions representing over $2 billion in value since 2007.

M&A Analysis: 3 Benefits of Siemens Healthineers’ $16.4B Acquisition of Varian Medical

M&A Analysis: 3 Benefits of Siemens Healthineers $16.4B Acquisition of Varian Medical

What You Should Know:

– Siemens Healthineers and Varian Medical announce a $16.4B deal in an all-cash transaction on 2nd August 2020.

– Deal expected to close in 1H 2021.

– Varian Medical will maintain its brand name and operate “independently”

– Siemens AG will drop holding in Siemens Healthineers from 85% to 72% as part of the transaction.


News of the deal between Siemens Healthineers and Varian Medical will have caught many industry onlookers off guard on Sunday evening. Flotation of the Healthineers business segment on the German stock market raised a few eyebrows back in 2017, but with Siemens AG retaining 85% of the stock, many observers postulated little change to the fortunes of the well-known business; an unwieldy technical hardware leader facing an uphill battle in an increasingly digital market.

However, the Varian deal has just made it very clear that Siemens Healthineers has emerged from the IPO with big ambitions and firepower to match. So, what does this mean for the future?

Win-win?

Three benefits of the deal are clear at first glance. Firstly, Siemens Healthineers will be adding an additional mature product set to its already strong modality hardware line-up. Radiation Therapy hardware (linear accelerators, or linac), is the lion’s share of Varian’s business, for which it is market leader holding over 55% of the global installed base in 2019. Combining this with Siemens’ extensive business in diagnostic imaging and diagnostics will create a product line-up that no major peer can today match. It also opens up opportunities for providing “end-to-end” oncology solutions (imaging, diagnostics, and therapy) under one vendor, a strong play in a market where health providers are increasingly looking to limit supply chain complexity and explore long-term managed service deals with fewer vendors.

Secondly, Varian is operating in a relatively exclusive market, with its only main competition coming from market peers Elekta and Accuray Inc. Demand for linacs has been consistently improving in recent years, with Varian suggesting only two-thirds of the Total Addressable Market (TAM) for Radiation Therapy has been catered for so far. The acquisition, therefore, opens a new growth market for Siemens Healthineers to offset the gradual slowing demand for its advanced imaging modality (MRI, CT) business, a more competitive and mature segment. The adoption of Radiation Therapy in emerging markets such as China and India is also well behind advanced imaging modalities, offering new greenfield opportunities near term, a rarity in most of Siemens Healthineers’ core markets.

Thirdly, Varian has grown to a size where progressing to the next level of growth will require substantial investment in operations and new market channels. Revenue growth over the last five years has been patchy, though gross margin remains strong for this sector. If Siemens can leverage its far larger operational and sales network and apply it to Varian’s product segments, none of Varian’s current main competitors will have the resources to compete, unless acquired by another major healthcare technology vendor.

The Digital Gem 

While the Radiation Therapy hardware business has gained the most attention for its potential impact on Siemens Healthineers’ business, Varian’s software business is arguably its most valuable jewel, hitting almost $600m and 18% YoY growth in FY19.

Many healthcare providers have become increasingly beleaguered by the challenges of digitalization today, especially in terms of complex integration of diagnostic and clinical applications across the healthcare system. This frustration is especially common in Oncology, which sits at the convergence of major departmental and enterprise IT systems, including the EMR, laboratory, radiology, and surgical segments.

Changing models of care provision towards multidisciplinary collaboration for diagnosis and care have only intensified focus on fixing this issue, with some preferring single-vendor offerings for major clinical or diagnostic departments. The Varian software suite is one of the few premium full-featured oncology IT portfolios available today, competing mostly against main rival Elekta, generalist oncology information system modules from EMR vendors (few of which have the same capability) and a host of smaller standalone specialist IT vendors.

For Siemens Healthineers, the Varian software asset is a great fit. Siemens has for some time been gradually changing direction in its digital strategy, away from large enterprise data management segments towards more targeted diagnostic and operational products. This process began with the sale of its EMR business to Cerner for $1.3B back in 2015, with notably reduced marketing focus and bidding or deal activity on big imaging management deals (PACS, VNA etc.) in North America in recent years.

Instead, Siemens Healthineers has channeled its digital efforts on three main areas where it has specialist capabilities: advanced visualization and access to artificial intelligence for image analysis; digitalization of advanced imaging hardware modalities, including driving efficiency for fleet management and radiology operations; and lab diagnostics automation. While still early in this transformation, this approach is tapping into the main challenges facing most healthcare providers today; improving clinical outcomes at a net neutral or reduced cost, better managing and reducing Total Cost of Ownership (TCO), and implementing autonomous technology to augment clinical and diagnostic practice.

Assuming integration with Siemens’ broader portfolio is not too bumpy, it is already clear how the different software assets of the Varian business sit well with Siemens’ digital strategy. The Aria Oncology Information System platform will provide an entry point for Siemens to build on clinical outcome improvement in Oncology (along with Noona/360 Oncology) while also integrating diagnostic content from the Siemens syngo imaging and AI-radiology applications. Further, with growing attention on operational software to support modality fleet services and radiology operations, Siemens could translate this business into RT linac fleet management, an area currently underserved.

With no competing vendor today able to match this capability in Oncology IT, the potential long-term benefits for Siemens’ digital strategy with Varian far outweigh the risks of integration.

From Morph Suits to Moon-shots

As alluded to in our introduction, perhaps most intriguing is the bullish signal Siemens Healthineers has made to its customers and the wider market about its future.

The Healthineers 2025 strategy identified three clear stages of transformation, with “reinforcing the core portfolio” the key aspect of the 2017-2019 post IPO. In the second phase “upgrading” the business focused on pushing up growth targets and earnings per share across all segments while adding capabilities in allied markets.

Picture9

Judged against the criteria for the “upgrading” phase, the Varian deal has ticked all the boxes, perhaps clarifying why Siemens was willing to pay a premium:

The scale of the deal has also reinforced that the gradual untethering of Siemens Healthineers from its corporate parent Siemens AG is bearing fruit, both in terms of flexibility to deal-make and the ability to use the financial firepower of its majority shareholder for competitive gain.

The deal, once completed in 1H 2021, also now puts Siemens Healthineers in an exclusive club of medical technology companies with annual revenues above $20B, with a potential position as the third-largest public firm globally (based on 2019 revenues, behind Medtronic and Johnson and Johnson).

It is therefore hard to argue that the Varian acquisition can be viewed as anything but positive for Siemens Healthineers. Given the current impact of the COVID-19 pandemic and expected challenging economic legacy, the growth potential of Varian will help to smooth the expected mid-term dip in some core business over the next few years.

Yet it is the intention and message that Siemens Healthineers is sending with the Varian acquisition that has is perhaps most impressive; despite the turmoil and challenges facing markets today, it fundamentally believes in its strategy to reinvent its healthcare business and target precision medicine long term.

Its major competitors should sit up and take note; Siemens Healthineers is fast re-establishing itself as a leading force within healthcare technology. The morph suits of the “Healthineers” brand launch was just one small step on this journey; the Varian acquisition is going to be one great leap.


About Steve Holloway 

Signify Research_Steve Holloway

Steve Holloway is the Director at Signify Research, an independent supplier of market intelligence and consultancy to the global healthcare technology industry. Steve has 9 years of experience in healthcare technology market intelligence, having served as Senior Analyst at InMedica (part of IMS Research) and Associate Director for IHS Inc.’s Healthcare Technology practice. Steve’s areas of expertise include healthcare IT and medical Imaging.

Teladoc Health and Livongo Merge in $18.5B Deal: 5 Things to Know

Teladoc Health and Livongo Merge in $18.5B Deal: 5 Things to Know

What You Should Know:

– Teladoc Health to merge with Livongo for $18.5B in cash
and stock to create a powerhouse leader in consumer-centered virtual care.

– Teladoc Health shareholders will own approximately 58
percent and existing Livongo shareholders will own approximately 42 percent of
the combined company.

– Jason Gorevic, current CEO of Teladoc Health, will be
the CEO of the combined company.


Teladoc Health
(TDOC) and Livongo (LVGO), today
announced that they have entered into a definitive merger
agreement to create substantial value across the healthcare ecosystem, enabling
clients everywhere to offer high quality, personalized, technology-enabled
longitudinal care that improves outcomes and lowers costs across the full
spectrum of health.

Under the terms of the merger agreement, each share of Livongo
will be exchanged for 0.5920x shares of Teladoc Health plus cash consideration
of $11.33 for each Livongo share, representing a value of $18.5 billion based
on the closing price of Teladoc Health shares as of August 4, 2020. The
transaction is expected to close by the end of Q4 2020

“This merger firmly establishes Teladoc Health at the forefront of the next-generation of healthcare,” said Jason Gorevic, CEO of Teladoc Health. “Livongo is a world-class innovator we deeply admire and has demonstrated success improving the lives of people living with chronic conditions. Together, we will further transform the healthcare experience from preventive care to the most complex cases, bringing ‘whole person’ health to consumers and greater value to our clients and shareholders as a result.”

Here are 5 things to know about this landmark merger deal:

1. Upon completion of the merger, existing Teladoc Health shareholders will own approximately 58 percent, and existing Livongo shareholders will own approximately 42 percent of the combined company.

2. The combination of Teladoc Health and Livongo creates a global leader in consumer-centered virtual care. The company will have expected 2020 pro forma revenue of approximately $1.3 billion, representing year over year pro forma growth of 85 percent. The combined company is expected to have pro forma Adjusted EBITDA of over $120 million for 2020.

3. The newly combined company will be called Teladoc Health and will be headquartered in Purchase, New York led by Jason Gorevic, current CEO of Teladoc Health.

4. The combined company is positioned to execute quantified opportunities to drive revenue synergies of $100 million by the end of the second year following the close, reaching $500 million on a run-rate basis by 2025. These opportunities include increased cross-selling and penetration into each company’s client base. They also include accelerating Livongo’s international expansion through Teladoc Health’s existing footprint, improving combined company member retention rates, and driving more efficient enrollment.

5. The combined company is expected to achieve cost synergies of $60 million by the end of the second year following the close, which can be reinvested to drive topline growth and margin expansion.

DAS Health Acquires Managed IT Services and CyberSecurity Company Technology Seed

DAS Health Lands $6M to Accelerate Company Acquisition Strategy

– Both companies’ clients will gain an increased depth of IT and security support, and Technology Seed’s healthcare clients will now have a substantially improved value proposition

DAS Health Ventures, Inc., a provider of health IT and management, announced today it completed the acquisition of Technology Seed, LLC, a managed IT and cybersecurity services company based in Salem, NH. This acquisition strengthens DAS’ position in the MSP sector and significantly advances its growth strategy to build the leading managed IT and services provider to physician groups, hospitals, and healthcare systems throughout the country.

Impact of Acquisition

DAS Health actively serves more than 1,500 clients, 3,000 clinicians, and 15,000 total users nationwide. With its headquarters in Tampa, Florida, a regional office in Las Vegas, Nevada, and a significant presence in Georgia, Illinois, New Jersey, North and South Carolina, Texas, and Wisconsin, DAS Health serves clients throughout nearly all 50 states. The recent acquisition significantly enhances their presence in New England, and as a result, DAS Health has now added a regional office in New Hampshire that will create opportunities for greater regional support of its entire solutions portfolio.

This
is the largest of over a dozen acquisitions in the past several years made
by DAS, which has become known for its ability to
identify quality companies that are a strategic fit and rapidly integrate them
in order to continually enhance the customer experience for clients of both
companies. Cogent Growth Partners assisted DAS in
the acquisition.

Both
companies’ clients will gain an increased depth of IT and security support, and
Technology Seed’s healthcare clients will now have a substantially improved
value proposition, as DAS Health’s
offerings are robust, including practice management and EHR software sales,
support and hosting, revenue cycle management (RCM), managed IT services,
security risk assessments (SRA), MIPS/MACRA reporting & consulting, mental
& behavioral health screenings, chronic
care management, telemedicine, and other value-based and patient engagement
solutions.

“Technology Seed offers an exciting opportunity for DAS to strengthen and expand our managed IT services throughout
the country, and specifically in New England” stated David Schlaifer, DAS Health President and CEO.
“I am pleased to welcome Kurt Simione and his team to the DAS family.
With this strong addition to our portfolio, we look forward to unlocking additional
value for our clients.”

Ciox Health Acquires Biomedical NLP Company Medal

Ciox Health Acquires Biomedical NLP Company Medal

What You Should Know:

– Ciox Health has acquired Medal, Inc., a biomedical
Natural Language Processing (biomed-NLP) technology company.

– The acquisition will lead Ciox to better and more
quickly enable real-world data in support of research that advances patient
care.


Ciox
Health
, a leading health technology company, today announced its acquisition
of San Francisco-based biomedical Natural Language Processing (biomed-NLP)
technology company, Medal, Inc., a leader
in the application of AI techniques to the interrogation of unstructured
medical record data. The acquisition accelerates capabilities to enable
real-world data (RWD) in support of research that advances patient care.

The Real-World Data Advantage

As more pharmaceutical and research organizations look to real-world data to accelerate clinical research, reliable identification, and interpretation of phenotypic data from deep inside medical records are becoming paramount. The most relevant information resides in the unstructured data: the surgical reports, pathology reports, imaging reports, discharge summaries, and other clinician-scribed narrative text. Medal’s software helps identify, contextualize, and interpret narrative-based medical notes, leading to the creation of research-grade data sets at scale. The company’s approach to biomed-NLP and deep learning AI is guided and informed by consensus from clinical expert reviewers across therapeutic areas.

“More than 100 million medical records are retrieved and reviewed by Ciox each year from the vast majority of U.S. providers, presenting an unprecedented opportunity to actually bring a true longitudinal perspective to clinical investigation. Ciox works at the first and last mile of U.S. healthcare data,” says Andy McMurry, Ph.D., Chief Science Officer of Medal. “Using Medal AI, Ciox will reduce human expert time and increase the utility of patient data to support biomedical discovery and clinical trials research across many disease areas, including COVID-19. Combining vast biomedical knowledge sources with clinically trained Artificial Intelligence enabling human experts, we are reinventing real-world data for clinical investigation.”

Acquisition Benefits for Ciox Health

This acquisition is the third major recent announcement from
Ciox’s growing Real World Data business, following two prior announcements of
strategic collaborations with LabCorp and Merck. As health data remains
fragmented throughout the U.S. healthcare ecosystem, Ciox is attracting
interest in its RWD division from medical research organizations and other
partners. This additional feature of the Ciox DataFit Platform through the
acquisition of Medal will enable faster and more consistent translational
research. 

Why It Matters

“We’re proud to bolster the Ciox Real World Data offering with Medal’s technology and team,” says Pete McCabe, CEO, Ciox. “The team and the biomed-NLP product, combined with Ciox’s technology-enabled ability to create longitudinal records across EHRs and provider systems, remove the friction related to medical records-based clinical research.  We will consistently supply consented, HIPAA-compliant, de-identified, research-grade RWD for complex clinical use cases to commercial researchers in pharma and biotech, as well as government sponsored researchers. The need is particularly highlighted in the COVID-19 research questions being asked by agencies like the FDA, CDC and NIH.”

W2O Acquires Discern Health to Strengthen Value-Based Care Capabilities

W2O Acquires Discern Health to Strengthen Value-Based Care Capabilities

What You Should Know:

– W2O announced today the acquisition of Discern Health, a leading healthcare consultancy based in Washington, DC, and Baltimore, to strengthen its strategic capabilities in assisting clients with critical healthcare policy trends and value-based reimbursement models.

– Discern Health brings experts with decades of experience in quality, health care measurement, and payment models to W2O’s analytics-driven, technology-enabled marketing and communications solutions. Leaders from Discern come from companies and organizations like the Centers for Medicare & Medicaid Services (CMS), National Quality Forum (NQF), and the National Committee for Quality Assurance (NCQA). 


W2O, the leading independent provider of analytics-driven, technology-enabled marketing, and communications solutions to the healthcare sector, today announced the acquisition of Discern Health. This health economics and outcomes research (HEOR) consulting firm provides strategic direction and policy solutions to life sciences companies, government and nonprofit agencies, and health insurers.  Financial details of the acquisition were not disclosed.

Discern Health Background/Capabilities

Discern Health counsels leading healthcare organizations on
the performance measures and innovative payment models that shape the market
for their products and services. Discern Health also works closely with
organizations to strengthen and quantify clinical and real-world evidence
strategies that inform ongoing market access and commercialization initiatives.
Discern Health’s staff previously held roles within leading organizations
including the Centers for Medicare & Medicaid Services (CMS), the National Quality
Forum (NQF), and the National Committee for Quality Assurance (NCQA). Discern
has offices in Baltimore and Washington, D.C., further expanding W2O’s presence
with now nearly 100 people dedicated to these increasingly important health
policy arenas.  

Value-based
care
is a key driver of health system change,” said Guy D’Andrea, Founder
and Managing Partner of Discern Health. “To be successful, health care
companies need to integrate value-based strategy into each level of their
organization and each stage of product development.”   

Today’s announcements marks the sixth acquisition W2O has
completed since the company announced its partnership with New Mountain Capital
just over a year ago. W2O’s approach to growth is to add experts and
capabilities that its clients recommend. This approach continues to strengthen
W2O’s offerings and positions the company as a go-to partner of choice to help
clients accelerate clinical trials, achieve commercial success, and navigate
and engage all their stakeholders in an increasingly virtual, social and
digital post-COVID-19 pandemic reality. 

 Why It Matters

“Value-based metrics, the continued need for real-world data integration, and the changing landscape of federal, state and international health policy in the face of the COVID-19 crisis are impacting healthcare faster than ever before,” said Rita Glaze, Practice Leader, Commercial Strategy and Market Access at W2O. “Our clients need ongoing evidence-generation strategies that mirror the market dynamics they are facing, along with up-to-the-minute insights and counsel. This information is vital to guide policy positions and commercial decisions that will unlock maximum value for their products, solutions and services. With Discern Health as part of our organization, we will continue to raise the quality and depth of our data and analytics offering, to ensure it stands up to the scrutiny of peer and government review. We will truly be #BetterTogether.”  

Post-Acquisition Plans

The Discern team will operate under W2O’s single, integrated
profit and loss (P&L) operation, with access to all of W2O’s proprietary
data models and tools as well as its 1,400 person strong multidisciplinary team
– including data analysts, scientific strategists, branding experts,
communications specialists and creatives – to build unfair advantage for
clients and their brands. Additionally, the Discern leadership team will remain
the same.  

Sharecare Acquires WhiteHatAI to Enhance Healthcare Payment Integrity

Sharecare Acquires AI Company WhiteHatAI to Enhance Healthcare Payment Integrity

What You Should Know:

– Sharecare acquires WhiteHatAI to provide health plan
and provider clients with additional capabilities to ensure healthcare payment
integrity 

– WhiteHatAI’s ability to detect erroneous claims before
they are paid will help Sharecare’s health plan partners reduce costs
associated with FWA.

– Sharecare will integrate WhiteHatAI’s capabilities to
foster deeper engagement by enabling patients to both verify recent medical
procedures and report satisfaction.


Sharecare, the
digital health company that helps people manage all their health in one
place, today announced its acquisition
of WhiteHatAI, an innovator
in artificial
intelligence
(AI) healthcare payment integrity applications. WhiteHatAI
marks Sharecare’s 16th acquisition; financial terms of the
deal were not disclosed. 

WhiteHateAI Acquisition Benefits for Sharecare

Over the last several years, Sharecare
has introduced a range of capabilities and services to
support payers’ and providers’ workflows –
including digital clinical data solutions and medical
records management; quality, performance and risk-adjustment tools; and
billing contract compliance. Given traditional retrospective systems
fail to recover 99% of erroneously paid medical claims, WhiteHatAI’s
ability to detect erroneous claims before they are paid will help
Sharecare’s health plan partners reduce costs associated with FWA.
Additionally, these capabilities better position Sharecare’s provider
clients to succeed in value-based environments by enabling more timely
payments and fewer claim denials – resulting in cash flow generation
and better revenue
cycle management
.  

Impact of FWA in Healthcare

“Fraud, waste and abuse in our healthcare system is already a $900 billion problem, which – prior to the pandemic – was expected to increase 6.5% annually through 2024; but given the necessity to fast-track claims in the face of COVID-19, this challenge is likely to grow even bigger, faster,” said Jeff Arnold, founder, chairman and CEO of Sharecare. “By acquiring WhiteHatAI and integrating their suite of AI-driven capabilities across our portfolio, we are bringing industry leading innovation to our payer and provider client partners that will help them not simply detect FWA but do so before it occurs, thus increasing efficiency and accuracy throughout healthcare organizations.” 

WhiteHatAI Integration with Sharecare App

WhiteHatAI’s proprietary AI-driven platform also will
empower providers to extract unstructured clinical data from medical
charts – which can contain meaningful insights not available in the
structured record – and enable the identification and calculation of
CMS quality measures. Additionally, as the digital health company partners with physician practices to help
patients manage their own health day-to-day between office
visits with the Sharecare app, it will integrate WhiteHatAI’s
capabilities to foster deeper engagement by enabling patients to both
verify recent medical procedures and report satisfaction. Sharecare
can then message users based on the treatment or care plan addressed during the
medical visit, thereby improving outcomes and lowering the cost curve.  

“Sharecare has a track record of innovation and collaboration unlike any other digital health company, and we are excited to merge our expertise in AI and healthcare payment integrity with their ability to convene, rally and engage people, providers and payers in improving health and well-being,” said Pete Ransome, CEO of WhiteHatAI. “Joining the Sharecare family enables us to capitalize on our ability to combat the prolific and fast-growing problem of fraud, waste, and abuse in healthcare, which will save millions of dollars for our collective clients and, ultimately, advance patient care and satisfaction.”    

HealthEdge Software Acquires Payment Integrity Solution The Burgess Group

HealthEdge Software Acquires Payment Integrity Solution The Burgess Group

What You Should Know:

– HealthEdge Software announces the acquisition of The Burgess
Group, LLC (“Burgess”), an innovative payment integrity software company
focused on improving healthcare payment operations for an undisclosed sum.

– The strategic acquisition will boost Health Edge’s position in
the payment integrity market and extends best-in-class claims processing to
include software-driven payment integrity

– Burgess’ product, Burgess
Source®, is the first solution to natively bring together claim payment
automation with business intelligence and enables a unified approach to ensure
payment accuracy. 


HealthEdge Software, Inc.® (“HealthEdge”), a provider of the industry’s leading integrated financial, administrative and clinical platform for health insurers, today announced the acquisition of The Burgess Group, LLC (“Burgess”), an Alexandria, VA-based payment integrity software company focused on improving healthcare payment operations through technology. Financial details of the acquisition were not disclosed. TripleTree, LLC served as financial advisor and Debevoise & Plimpton LLP was legal advisor to HealthEdge and Blackstone. Seabrook Partners, LLC served as financial advisor and Vedder Price was legal advisor to Burgess.

Patient Accountability Platform

Founded in 1997, Burgess operates at the intersection
of healthcare, finance and technology. The company helps leading American
health insurers and ACOs set a new standard: Payment Accountability. The
company’s cloud-based platform, Burgess Source, is the only solution that
natively brings together up-to-date regulatory data, claims pricing and
editing, and real-time analytics tools. This unified approach allows clients to
make payments with total confidence, and make business decisions with real
intelligence.

Strategic Fit for HealthEdge to Power Next-Generation
Payor Technology

“The acquisition of Burgess is a great strategic fit for HealthEdge to enter the large, high-growth market of payment integrity, helping address the estimated $1 trillion in wasteful spending in the U.S. healthcare system. This partnership will extend HealthEdge’s best-in-class claims processing to include software-driven payment integrity, actioned before a claim is paid, delivering significant value to health plans beyond what is available in the market today,” said Ram Jagannath, Global Head of Healthcare for Blackstone Growth and Chairman of HealthEdge.  “We are excited to invest further in HealthEdge to continue building a market-leading software platform for health insurers.” 

HealthEdge provides
mission-critical next-generation Core Administrative Processing Systems
solutions to healthcare payors, enabling them to administer benefits, configure
plans, manage providers, and enroll participants seamlessly and efficiently.
The company’s products offer a modern, simple user interface, greater
flexibility, and a cloud-compliant solution well suited to the increasingly
complex and data-rich healthcare environment.

HealthEdge’s acquisition of Burgess follows the acquisition of a
majority stake in HealthEdge by funds managed by Blackstone (“Blackstone”) in
April 2020. 

Curavi Health, CarePointe, U.S. Health Systems Merge to Form Arkos Health to Power Virtual Care for Seniors

Curavi Health, CarePointe, U.S. Health Systems Merge to Form Arkos Health to Power Virtual Care for Seniors

Curavi Health, CarePointe, U.S. Health Systems announced a merger agreement to form Arkos Health. Arkos Health will provide virtual care solutions and health insights to vulnerable populations across the United States. These three entities will become wholly-owned subsidiaries of Arkos Health, and the executive leadership teams will be merged. UPMC will continue to own a financial stake in Arkos Health, while remaining both a customer and service provider. 

CarePointe, founded in 2015 and headquartered in Las Vegas,
and USHS, founded in 2018 and based in Tempe, Arizona, together will provide a
technology-enabled care coordination solution for Arkos Health’s provider and
payer partners. Currently providing services to more than 110,000 seniors, they
serve at-risk and value-based organizations by driving down costs and improving
quality of care.

Curavi was spun out from leading health care provider and
insurer UPMC in 2016 and provides clinical care in post-acute and
long-term care settings via its telemedicine and software solution, which was
designed specifically for those facilities. Its physicians have performed
approximately 60,000 consults to date, maintaining a 94% treat-in-place rate
and reducing potentially harmful transfers to hospital emergency
departments. 

“With Arkos Health, providers and payers can effectively deliver quality care to frail seniors through a customized mobile and virtual platform using performance-based business models,” said Amish Purohit, M.D., chief executive officer of USHS. “Curavi, CarePointe and USHS have all demonstrated an ability to improve clinical outcomes while reducing costs, and together we will continue to elevate our clients’ experiences by providing differentiated care.”

Health Catalyst Acquires Clinical Workflow Optimization Solution healthfinch

healthfinch Nabs $6M for Charlie Practice Automation Platform

What You Should Know:

– Health Catalyst announces an agreement to acquire
clinical workflow optimization solution healthfinch using a mix of stock and
cash.

– As part of the acquisition, healthfinch will be a new
application suite category called EMR Embedded Insights and its refills, care
gaps closure, and visit planning applications will continue to be available in
their original configuration.


 Health
Catalyst, Inc.,
a provider of data and analytics technology and services to
healthcare organizations, today announced that it has entered into a definitive
agreement to acquire healthfinch, Inc., a Madison,
Wisconsin-based company that provides a workflow integration engine delivering
insights and analytics into EMR workflows to
automate physicians’ ability to close patient care gaps in real-time. Health
Catalyst expects to fund the transaction using a mix of stock and cash.

Clinical Workflow Optimization

Founded in 2011, healthfinch has developed the healthcare
industry’s most trusted, most used clinical workflow optimization solution,
Charlie. Charlie’s unique combination of EMR-integrated technology and protocol
content streamlines key workflows such as prescription renewal processing,
visit planning, and care gap closure. With Charlie, health systems are able to
deliver a better, safer patient experience, while also achieving lower rates of
provider and staff burnout, increased care gap closure, improved quality
metrics, and significant time and cost savings for providers and clinical
staff.

Integration with Health
Catalyst Analytics Application Portfolio

The healthfinch acquisition, which will allow Health
Catalyst’s customers to enhance clinical workflows in the EMR, further
strengthens the Health Catalyst Population Health portfolio, which was
bolstered by the Able Health acquisition in February 2020 and Care
Management Suite launch earlier this month.

Within the Health Catalyst analytics application portfolio,
healthfinch will be a new application suite category called EMR Embedded
Insights and its refills, care gaps closure, and visit planning applications will
continue to be available in their original configuration. Additionally, the
healthfinch technology will augment workflows across Health Catalyst’s product
portfolio, with data and insights powered by Health Catalyst’s cloud-based Data
Operating System (DOS™), a healthcare-specific, open, flexible, and scalable
data platform that provides customers with a single comprehensive environment
to integrate and organize data.

healthfinch’s industry-leading capabilities are already in demand from Health Catalyst customers and prospects across multiple product areas including quality measures, care management, population health, patient safety, and others. Providing these capabilities will bring even greater value to Health Catalyst customers by making the critical insights and analytics from the DOS platform actionable within clinical workflows – providing more effective care for patients and saving time for both doctors and staff through automation so they can work at the top of their license. 

“We are thrilled to benefit from healthfinch’s decades of collective experience gained from working with customers across the United States that are using a variety of different EMRs.  And we also find deeply compelling the strong mission and cultural alignment with our respected healthfinch teammates. We are excited to have the healthfinch leadership team and their talented colleagues join Health Catalyst, and we are grateful for the tremendous insights, knowledge and perspectives they bring, which will accelerate the achievement of our mission to be the catalyst for massive, measurable, data-informed healthcare improvement,” said Health Catalyst CEO Dan Burton.

Burton added, “This acquisition highlights Health Catalyst’s ability to integrate and scale software applications on top of our DOS platform. The healthfinch technology will easily serve up actionable insights, derived from DOS and other Health Catalyst analytics applications into the EMR, at the point of care.”