Health IT Business News – February 20, 2017


Investors are bullish on digital healthcare
According to Mercom Capital, “investors poured lots of money into health information technology in 2016 and a big part of it was earmarked for deals related to digital and consumer-focused applications and services. Investors pumped $5.05 billion into digital healthcare technology applications and services transactions in 2016, an increase of 8.9% from $4.64 billion in 2015, says Mercom Capital. The number of deals also grew year over year by 8.4% to 622 deals from 574 deals. In particular investors had a healthy appetite for digital healthcare transactions—especially those related to mobile technology.”

Aprima Medical Software Acquires EHR Reseller Healthcare Data Solutions
Aprima Medical Software (@AprimaMedEHR), a provider of innovative electronic health records, practice management and revenue cycle management solutions for medical practices, recently announced the acquisition of a former reseller Healthcare Data Solutions of Coral Gables, FL. As part of the agreement, Aprima will assume full support for HDS’s customers, which include approximately 300 providers in 125 medical practices across 15 states. Financial terms were not disclosed.

ION Solutions to Provide Patient Engagement Technology to its Nationwide Oncology Network with HealthGrid
ION Solutions (@ION_Solutions), a part of AmerisourceBergen and the largest physician service organization and group purchasing organization specializing in the support of community oncology, and Orlando-based patient engagement company, HealthGrid (@healthgrid), announced a partnership to deliver a best-in-class patient engagement platform for community oncologists. The platform, powered by HealthGrid technology, will allow ION members who dispense and administer oral chemotherapy to connect with patients anytime, anywhere and through any mobile device. The tool will provide practices with actionable reminders, surveys, education and notifications to increase patient connectivity and improve medication adherence.

MediSYS Leverages Alpha II Registry to Improve Quality Measure Reporting for Providers
Alpha II, LLC (@Alpha_II), a developer of software platforms, software as a service and publications that support the healthcare revenue cycle, announced it has signed an agreement with MediSYS (@MediSYSInc_MD) to offer its Alpha II Registry to successfully collect and report Quality Payment Program data – as outlined by The Centers for Medicare & Medicaid Services – on behalf of MediSYS clients. [tweetthis display_mode=”button_link”]@Alpha_II and @MediSYSInc_MD join forces to successfully collect and report Quality Payment Program #QPP data [/tweetthis]

Hashed Health Raises Nearly $2 Million in Initial Funding Round
Hashed Health (@HashedHealth), a consortium leveraging blockchain and distributed ledger technologies for transformation in the U.S. healthcare system, announced an initial funding round of nearly $2 million. Martin Ventures led the round and is known for backing new business models that remove friction and inefficiencies inherent in healthcare transactions and bring fresh approaches to consumer engagement in care.

Federal Health Information Technology Spending to Reach $6.4 Billion by 2021, According to Deltek
According to a new report from Deltek (@Deltek), federal health IT spending will continue to grow despite a relatively flat IT market. In order to combat increases in federal expenditures for health, which are expected to grow 86% to $1.7 trillion in 2025, the federal government is seeking to reduce costs, gain efficiencies, improve care quality, promote interoperability, cure disease, and improve overall population health. Health IT investments aimed at digitizing, sharing, analyzing and securing health information will drive strong federal spending in this market segment over the next five years. Deltek’s Federal Health Information Technology Market, 2016-2021 report provides analysis of the trends and drivers shaping the federal health IT marketplace, and predicts investments growing from $6.0 billion in FY 2016 to $6.4 billion in 2021 at a Compound Annual Growth Rate of 1.4%.

The Iridian Asset Management LLC CT Raises Position in Allscripts Healthcare Solutions, Inc. 
Iridian Asset Management LLC CT increased its stake in shares of Allscripts Healthcare Solutions, Inc. (@AllscriptsADP) by 26.5% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 13,268,624 shares of the company’s stock after buying an additional 2,781,219 shares during the period. Iridian Asset Management LLC CT owned about 7.17% of Allscripts Healthcare Solutions worth $135,473,000 as of its most recent SEC filing.

Verato Raises $12.5M in Series B Financing, Signs Five New Customers
Verato, Inc. (@Verato_Software), a provider of cloud-based identity matching and Master Patient Index solutions, announced that the company has raised $12.5 million in Series B financing and signed on five new healthcare organizations as customers, tripling its annual recurring revenue. The financing was led jointly by Bessemer Venture Partners and Columbia Capital to support continued growth and to accelerate technology development.

MEDITECH Wraps Up 2016 with Strong Q4 Sales
Since the launching of MEDITECH’s (@MEDITECH) contemporary and clinically-integrated Web Electronic Health Record, over 130 healthcare organizations have signed for the company’s latest release. MEDITECH’s innovative, physician-designed Web EHR represents a major pivot for the company and the industry as a whole. In Q4 2016 alone, 28 healthcare organizations, representing new and existing customers, have signed to move forward with MEDITECH’s Web EHR, with momentum continuing into 2017. [tweetthis display_mode=”button_link”]@MEDITECH Wraps Up 2016 with Strong Q4 Sales #EHR #digitalhealth[/tweetthis]

Nido Surgical Raises $1.3M Series A Led By Broadview Ventures
Nido Surgical, Inc., a development-stage medical device company focused on creating innovative solutions for beating heart surgery, has raised $1.3 million in a Series A financing led by Broadview Ventures (Boston, MA). The funds will be used to finance the development and First-In-Man studies of Nido Surgical’ platform product, the CardioPort. Nido Surgical has also received a $1.4 million Small Business Technology Transfer grant from the National Institutes of Health to support this work.

Orion Health Hits New Milestone: More Than 600 Rhapsody Customers Worldwide
Orion Health (@OrionHealth), a global technology company that provides solutions that enable healthcare to over 110 million patients in more than 25 countries, has announced another milestone: Its Rhapsody Integration Engine, is now in use at more than 640 healthcare organizations in 36 countries worldwide. More than half of them—324—are U.S. based providers, payers, pharmaceutical manufacturers or application developers. In addition, 500 OEM partners have deployed close to 10,000 instances of Rhapsody.

Redox Raises $9M Led by RRE Ventures to Scale Interoperable Network of Health Systems and Applications
Redox (@Redox), an integration platform for digital healthcare applications, announced that it has closed a $9 million Series B financing. RRE Ventures led the round with participation from existing investors .406 Ventures, HealthX Ventures, and Flybridge Capital Partners. Redox will use the new capital to accelerate its product roadmap along the way to building the industry standard platform for seamless interoperability between health technology developers and health systems.