Announced on Sunday just in time for Monday’s start of the annual, breathlessly awaited JP Morgan healthcare conference where ‘middle America’ ‘flyover’ companies are now the hot thing, was the acquisition by decidedly not-flyover Teladoc (Purchase, NY) of InTouch Health (Santa Barbara CA). InTouch is a mid-sized company for primarily hospital and health system-based telehealth. The purchase price was $150 million in cash and the remainder in Teladoc common stock, scheduled to close next quarter.
InTouch had made acquisitions of its own in 2018: REACH Health (enterprise telehealth) and TruClinic (DTC telehealth). Unusually, it also came fairly unencumbered by outside funding–only $49 million to date.
Telehealth and telemedicine are both rapidly consolidating and growing horizontally into payers (Teladoc and Aetna), corporate, and health systems.
An analysis over at Seeking Alpha emphasizes InTouch’s enterprise business as the charm for Teladoc, leading to a purchase price 7.5x revenue based on InTouch Health’s 2019 revenue of $80mm. InTouch had, with TruClinic, built itself up into a comprehensive system for over 450 hospitals reaching to the patient, but also developed specialty telehealth areas in stroke, behavioral health, critical care, neonatology, and cardiology. In their view for investors, the news is quite positive for Teladoc as–returning to JP Morgan–40 percent of hospitals expect to increase their telemedicine budgets. Release, MedCityNews
[grow_thumb image=”http://telecareaware.com/wp-content/uploads/2017/12/Lasso.jpg” thumb_width=”150″ /]Rounding up August as we wind down our last weeks of summer holidays.
The Patient-Centered Outcomes Research Institute (PCORI) announced earlier this week that they are funding 16 studies which compare two or more approaches to improve care and outcomes for a range of conditions. Included in the $85 million funding are studies incorporating technology. One is a $13.3 million grant for a West Virginia University study utilizing telehealth to monitor patients with major depressive disorders comparing medication, cognitive behavior therapy (CBT), and medication plus remote CBT. PCORI Release
InTouch Health, an enterprise telehealth provider which most recently partnered with RPM developer Vivify Health [TTA 19 Dec] to move into in-home and post-acute settings, is now moving into retail with Rite Aid. The letter of intent is to help Rite Aid build up the technology in their existing health kiosks in pharmacies and ‘alternative care sites’. Rite Aid has had a long standing interest in kiosks, including as one of the last customers of HealthSpot. With their Albertsons merger scuttled, Rite Aid is seeking other business and interest. One of InTouch’s executives is EVP of Marketing and Consumer Solutions Steve Cashman, who founded and headed HealthSpot. InTouch is also participating in the World Telehealth Initiative, a nonprofit organization which seeks to bring telehealth expertise into worldwide communities in need. InTouch will donate devices, access to its virtual network, and access to doctors donating their time. Mobihealthnews.
Lisa Suennen, a fixture at many health tech conferences and one of the few women with both presence and clout in the funding sphere, has departed GE Ventures, GE’s VC arm. She was senior managing director focusing on healthcare companies, successfully exiting several in her portfolio to UnitedHealth and Aetna. No reason was given for her exit after a stint of under two years, other than the anodyne “find a new adventure.” GE is planning to spin off its healthcare businesses as part of its restructuring. CNBC.
And the week would not be complete without a report about NHS losing nearly 10,000 patient records–paper and electronic–last year, according to information released under UK freedom of information laws. Without this information, doctors have trouble finding patient history sources and prior diagnostic records. There is also abundant opportunity for fraud, as Everything Winds Up Somewhere, and that somewhere could be criminal. Last year, Members of Parliament said the NHS had “badly failed patients” after a scandal in which at least 708,000 pieces of correspondence–including blood tests, cancer screening appointments, medication changes, and child protection notes–piled up in storerooms. Sunday Times. If paywalled, see the attached PDF.
Telehealth provider InTouch Health announced a five-year joint partnership with Asheville, North Carolina-based Mission Health and Philadelphia-based Jefferson Health to develop 10 new models in virtual acute and outpatient care. These use cases are not “typical telehealth” and include stroke, sepsis, and acute heart failure.
It’s an interesting expansion of the telemedicine/telehealth acute care model, especially if it extends to outpatient care. InTouch is building upon several years of separate work with each health system. In this joint development arrangement, the health systems will share information and with InTouch Health. What is also interesting that working with both systems allows InTouch to test virtual care access and whether it increases care coordination in diverse settings. Jefferson is an urban university hospital based in Center City Philadelphia, while Mission serves an economically mixed suburban and rural area. According to the release, this is to “ensure the care pathways and supporting technologies improve patient access and quality of care and are applicable across markets and geographies.”
Jefferson Health has worked with InTouch for nearly a decade, using the InTouch telestroke program for its 30 hospitals in the Jefferson Neuroscience Network. Mission Health is using their telestroke, telepsychiatric, tele-hospitalist, and tele-neonatology programs. The InTouch programs include virtual platforms, clinical workflow solutions, and software.
There is no mention here of using new telehealth partner Vivify Health [TTA 19 Dec] for their Managed Kit and BYOD, but to this Editor the most likely place for their systems would be integration into outpatient care. Outpatient service could also be furnished by their new home-based video consult services acquired through their purchase earlier this month of TruClinic.
Since 2003, InTouch has rounded up over $26 million in funding through a 2010 $6 million Series D. The fact that their funding has been conservative (compared to the over $158 million Practice Fusion raised in a dozen years before their acquisition earlier this month by Allscripts) and have managed to make several acquisitions in that time either indicates excellent cash flow from existing business or undisclosed sources of private financing. Release. Mobihealthnews.
Almost exactly 14 months to the day since the press release announcing a pilot of a [grow_thumb image=”http://telecareaware.com/wp-content/uploads/2017/03/dubai-health.jpg” thumb_width=”150″ /]telemedicine service, the first patient is said to have undergone treatment using the Dubai Health Authority’s RoboDoc telemedicine system according to Middle East North Africa Financial Network. The patient was based in Hatta Hospital and the respiratory specialists were based at Rashid Hospital Trauma Centre according to the report. RoboDoc units, from InTouch Health, have also been installed at two primary care centres in Dubai.
In a previous TTA article this editor expressed surprise that telehealth would be of interest to Dubai which is only 1600 square miles in area. Having considered the details of the implementation the interest is partially explained by the fact that Hatta is an outpost separated from the rest of Dubai, 135 km (84 miles) from Rashid Hospital.
However, the other two centres at which the RoboDoc devices have been installed, Al Bashar Health Centre (15 miles from Rashid Hospital) and Nad Al Hammar Health Centre (7 miles from Rashid) (more…)
Proteus raises $120 million from “major new institutional investors based in the United States, Europe and Asia” for further development of its ‘smart pills’. Mobihealthnews. Previously in TTA here (starting in 2009!) It’s a long way from ‘tattletale pills’…..InTouch Health now has an FDA-cleared iPad app, CS for iPad, to support a digital stethoscope component on the mobile devices. The app is designed to assess heart and lung sounds in real time in acute-care settings particularly tele-ICU. MedCityNews…..In the mood to read your brainwaves? The Muse is here to help with neurofeedback. MedCityNews takes it on a test drive and if you don’t mind wiping your head down to get a good connection, it definitely points to the future of controlling computers with brain waves and in the meantime, pairing up health apps to get a correlation with those waves….And finally a ‘think piece’ in HeartSisters by Carolyn Thomas, “To just be a person, and not a patient anymore” is largely an impossible dream for those with chronic disease. It’s part of the basis behind non-compliance and other patient behavior that doctors have difficulty understanding. The experience of the patient–the frustration (the ‘perpetual battle of Stalingrad’) and the burden that person carries is the argument behind ‘Minimally Disruptive Medicine’. Must reading as those same patients will be pressed now even more to Quantify Themselves and also to keep track of every fluctuation in vital signs on their iPhone.