Masimo names new CEO, new board chair and vice chair. And confirms a fresh direction.

January 22, 2025 | by

After a dramatic 2024, Masimo settles in a new CEO and board. Joining from BD (Becton Dickinson) is Catherine (Katie) Szyman for the top spot and a board seat. With new board positions are interim CEO (since October and the resignation/ousting of Joe Kiani) and independent director Michelle Brennan as chairman of Masimo’s board and as vice chairman, lead independent director from Politan Capital Management, Quentin Koffey. The changes are effective on 12 February.

Ms. Szyman’s background in medical device and related is impressive, especially in joining a $1.5 billion company from a $6 billion one. She was briefly worldwide president of Advanced Patient Monitoring at BD after nine years at Edwards Lifesciences where she was corporate vice president and general manager, Critical Care, their unit for device and predictive analytics software. She is credited with Edwards obtaining the first AI clearance from the FDA for patient monitoring.  Edwards was acquired by BD last September. Prior to Edwards, she was at Medtronic for 24 years, rising from finance to president of their diabetes care unit. She has also held and still is on multiple board positions and is a Harvard MBA. According to the release and Ms. Brennan’s statement, Ms. Szyman will be “prioritizing our pipeline to focus on large opportunities, while developing a clear strategy for bringing our next generation patient monitoring platform to market”, which promises more professional monitoring products.

The double-down on the professional health side is backed by the makeup of the now nine-person board. Ms. Brennan is retired from a global leadership position at J&J. Tim Scannell and Bill Jellison both retired from Stryker as president and CFO respectively. Wendy Lane has extensive financial and investment background. Darlene Solomon was a chief technology officer and VP of Agilent Technologies in life science and chemical research. Strata-gee 21 October 2024. Holdovers from the Kiani era are former Disney CEO Bob Chapek and Craig Reynolds, a former COO of Philips Respironics.

With Ms. Szyman at the helm, one can easily predict that Masimo’s professional vital signs monitoring medical devices won’t stay concentrated in pulse oximetry and more on ‘large opportunities’, perhaps incorporating predictive analytics and AI. More will be changing at Masimo. Under the vague language of ‘alternatives’ and ‘strategic review’, Sound United will be sold, sooner rather than later as it will not be reported in their 2025 financials [TTA 17 Jan]. The release also confirms that the consumer healthcare business that encompasses smartwatches, fingertip pulse oximeter, a wearable thermometer, baby and infant monitors, and ‘hearables’ (the latter two with no product on the website), is on the block. Unless the consumer side can be developed, it’s too competitive. Politan is signaling wants to grow this investment big time.  A hat tip and bow to Ted of Strata-gee today for breaking this.

Short takes: Stryker to buy Care.ai, Masimo W1 medical watch clears FDA for oxygen, heart monitoring, Create Health Ventures forms $21M fund

August 16, 2024 | by

Medical/surgical device giant Stryker snapping up Care.ai. Price and financing are not disclosed. Orlando-based Care.ai specializes in sensor-based smart room technologies for hospitals and post-acute care facilities along with virtual care data analysis and workflows. Timing of the closing is based upon the usual regulatory approvals and Care.ai will operate separately until then. After that, it’s projected that it will be integrated into Stryker’s 2022 acquisition Vocera Communications’ platform and devices.  Care.ai may be just the first deal for Stryker’s second half, as their CEO Kevin Lobo promised on the Q2 investor call a “very active deal pipeline” of tuck-in acquisitions. According to HIStalk, Care.ai co-founder and CEO Chakri Toleti sold his previous venture, HealthGrid, to Allscripts (now Veradigm) in 2018 for $60 million. MedTech Dive, Stryker release

Despite the proxy fight, business as usual goes on with Masimo. Their W1 medical watch for remote patient monitoring, integrated into the Masimo SafetyNet telemonitoring platform, received FDA 510(k) clearance. The watch MW-1 module monitors high-resolution SpO2, pulse rate, perfusion index (Pi), and heart rate from an ECG from a single wearable device. Readouts are both on desktop for the clinician and on an app for patients and caregivers. All can receive customized notifications and manage care remotely. The Masimo W1 medical watch and the integrated Masimo MW-1 module are indicated for adults in hospitals, clinics, long-term care facilities, and homes. No cost is provided and it is not available on the website, but the W1 Sport consumer version is $549.  SleepReview, Masimo product page.

Another sign of digital health investment revival–a new venture capital fund not started by Glen Tullman. Create Health Ventures is kicking off its inaugural fund with $21 million. Its focus will be on early-stage startups founded by experienced healthcare veterans on two tracks, according to their announcement release: 

  1. For payers, improve access to care for everyone, enhance the patient experience, and facilitate better health outcomes
  2. For pharmaceutical companies, technologies they can use to recruit and retain patients for clinical trials, as later-stage trial needs swell in the industry

The two founders and managing partners, who started the firm in Austin and Chicago in 2021, are Emma Cartmell and Amit Aysola. They have advised or invested in over 80 companies. Venture Capital Journal, Mobihealthnews

Connected care keeps expanding: Stryker acquiring Vocera Communications for $3B, Baxter’s close of Hillrom sale for $12.5B

January 12, 2022 | by

Medical device companies that have grown into or acquired tech and analytics are now buying into communications systems to connect it all. Massive medical/surgical/orthopedic device company Stryker is acquiring clinical communications/coordination workflow systems Vocera Communications for a snappy $2.97 billion. The deal is for $79.25 per share and is expected to close in this quarter. Vocera is expected to expand Stryker’s Advanced Digital Healthcare and connect devices and digital communications both for clinical caregivers and with families. Vocera is considered to be an innovator in communications systems that connect clinical and operational systems, and is presently in 2,300 medical facilities internationally. No management transitions were disclosed. Release.

Hillrom, another device company mainly in cardiac and hospital monitoring which last year had broadened its remote patient monitoring and connected care portfolio, was in turn acquired by medtech giant Baxter International last month. Hillrom had acquired Bardy Diagnostics and EarlySense about a year ago [TTA 4 Feb 21], and in 2019 Voalte Communications, directly competitive with Vocera. In 2015, Hillrom bought Welch Allyn which boosted it into digital health from primarily hospital furniture. The purchase price closed at $10.5 billion and including Hillrom’s outstanding debt obligations, the acquisition in total was $12.5 billion. From Baxter’s release, the “legacy” Hillrom and Welch Allyn brands will be introduced into international markets and integrated into Baxter’s technologies. The lack of mention of Hillrom, the ‘legacy’ references, and no mention of Hillrom management transitions in the release, is a sure sign that the brand will be sunsetted very quickly, along with its management team. Medtech Dive. Also a snappy tip o’ the cap to HISTalk.

Is digital health neglecting The Big Preventable–medical errors?

September 6, 2014 | by | 1 Comment

 

Preventable medical errors persist as the No. 3 killer in the US – third only to heart disease and cancer – claiming the lives of some 400,000 people each year.

(US Senate hearing, cited in HealthcareITNews 18 July 2014)

At the end of last month, this Editor questioned the efficacy of our current state of ‘consumer engagement’ in Patients should be less engaged, not more. The ‘less engaged’ was a call for simplification: regimens and devices which were easier to use, less complicated and far easier to fit in everyday life. (Aesthetics helps too.) Back in 2013, HeartSister/Ethical Nag (and Canadian) Carolyn Thomas called for health app (and by inference consumer engagement) designers to ‘skate to where the puck is going’–as in “For Pete’s sake, go find some Real Live Patients to talk (and listen) to first before you decide where you’re going!” Often it seems like these apps and platforms are designed in a vacuum of the entrepreneur’s making. The proof is the low uptake (Pew, Parks, IMS) and the apps’/programs’ lack of stickiness after all this time (Kvedar 8 Sep blog post).

Now Laurie Orlov tells us we were looking at the wrong puck, as analysts do. First, all that ‘nudging’ and all those apps haven’t moved the needle on diabetes and obesity. Second, why are app developers neglecting that third largest killer, preventable medical errors? Add to that 400,000 yearly–over 1,000 per day–the 10,000 estimated patients every day who suffer serious complications. (more…)