Venture capital continues to flow into the mhealth space. Despite conflicting reports about the use and lack of proof for cost savings using digital health apps, mergers are occuring in 2017.Only one quarter into 2017, there have already been an impressive number of mergers and acquisitions in the digital health space. While some were bigger and more unexpected than others, they all demonstrate a maturing and consolidating space. Read on for the 12 mergers and acquisitions we’ve tracked since January. They’re listed in descending order of acquisition price, with the undisclosed acquisitions ordered chronologically. MobiHealth News reports.
HMS Holdings acquires Eliza — $170M Irving, Texas-based HMS Holdings, which owns a number of subsidiaries that offer software tools for payers, acquired health engagement platform provider Eliza Corporation for a cash purchase price of $170 million.
Eliza is attractive to HMS for a number of reasons. The company has a strong presence with many major US health plans including Medicaid and Medicare, and it offers tools not just to improve the consumer experience, but to increase organizations’ revenue and renewal rates, as well as improve quality of care delivery and cost efficiencies. The cloud-based platform uses proprietary predictive analytics, behavioral science and data-driven outreach methodologies that have led to Eliza accruing more than 50 domestic and international patents and patent applications (which will all go to HMS under the acquisition)
Castlight acquires Jiff — $135M San Francisco-based Castlight Health, which offers consumers a personalized health shopping platform, announced the strategic acquisition of Mountain View, California-based digital health benefits platform Jiff. Castlight paid about $135 million in the form of 27 million Castlight shares and options issued to Jiff equity holders.
The 12 digital health mergers and acquisitions of Q1 2017 | MobiHealthNews