Digital health news, funding roundup in the prior week; June 13, 2022

Oracle buys Cerner; FTA probes prescription drug middlemen; Teladoc faces class action lawsuit

Top Health News

• The Federal Trade Commission announced that it will launch an inquiry into the prescription drug middleman industry, requiring the six largest pharmacy benefit managers to provide information and records regarding their business practices, including CVS Caremark, Express Scripts, OptumRx, Humana, Prime Therapeutics, and MedImpact Healthcare Systems. The agency’s inquiry will scrutinize the impact of vertically integrated pharmacy benefit managers on the access and affordability of prescription drugs. 
• Oracle chairman Larry Ellison said the company plans to build a national health record database that would pull data from thousands of hospital-centric EHRs. The idea is to help doctors and clinicians have faster access to patient records when providing care. Anonymized health data in that national database could also be used to build artificial intelligence models to help diagnose diseases such as cancer.
• The United Health Foundation, the philanthropic arm of UnitedHealth Group, will invest $100 million over the next decade to drive a more diverse healthcare workforce. The investment is the single largest contribution ever made by United Health Foundation and will provide scholarships and support to 10,000 clinicians from underrepresented communities. The program will back 5,000 new students, with a focus on primary care, as well as support 5,000 clinics that want to progress careers in medicine, nursing, midwifery, mental health and other specialties.
• A class action lawsuit was filed against Teladoc in the United States District Court for the Southern District of New York, alleging that the company made false and misleading statements regarding its business, operations, and prospects. Specifically, Teladoc is being accused of making false and/or misleading statements and/or failing to disclose that increased competition was negatively impacting its business, that the growth of those businesses was less sustainable than shareholders had led investors to believe.
• KenSci, Colburn Hill Group, Alphalytics, Lumedic, Quiviq, and MultiScale by Providence integrated their technology to launch Advata, an advanced analytics software company providing a suite of SaaS products to drive better health care. Advata has a comprehensive product offering to provide clinical decision support and back-office management to optimize care and operations.
• The American Hospital Association invested in Boston-based venture capital firm Seae Ventures' $107 million fund, which it will use to promote women and Black, Indigenous and other historically marginalized entrepreneurs who are developing health and financial technologies that benefit traditionally underrepresented populations.
• Google launched a new feature on Maps to provide data about air quality conditions so users can make more informed decisions about whether it’s safe to go on a hike or other outdoor adventures. They'll see Air Quality Index (AQI), a measure of how healthy (or unhealthy) the air is, along with guidance for outdoor activities, when the information was last updated, and links to learn more.

M&A

• BD, a global medical technology company, entered into a definitive agreement to acquire Parata Systems, a provider of pharmacy automation solutions
• Oracle Corporation completed its acquisition of electronic health record company Cerner
• Spectrum Science, an integrated marketing, communications and media agency hyper-focused on health and science, acquired The Seismic Collaborative, a health and life science agency that specializes in supporting early-stage health tech and biotech companies
• ICF, a global consulting and digital services provider, entered into a definitive agreement to acquire SemanticBits, a partner to U.S. federal health agencies for digital modernization solutions
• SullivanCotter, a consulting firm in the assessment and development of total rewards programs, workforce solutions, and data products for the health care industry and not-for-profit sector, acquired Clinician Nexus, a clinical experience management technology company
• Healthcare Outcomes Performance Company, a provider of musculoskeletal physician practice management, outcomes management, and value-based care solutions, acquired MSK-specific technology platforms developed by London based Future Health Works, including msk.ai
• Pristyn Care, a company that deals into minimal invasive medical and surgical interventions, acquired mobile healthcare technology company Lybrate
• Accrete Health Partners, a strategic holding company, acquired Nordic Consulting Partners, a health and technology consulting firm
• Dalrada, a company that drives innovation that positively impacts people, businesses, and the planet, acquired a full-service independent pharmacy Watson Rx Solutions

Funding Roundup

• H1 raised $23 million to deploy healthcare provider data
• CareAcademy raised $20 million to provide caregivers with training and education
• Aledade raised $123 million to expand value-based care
• Bicycle Health, a provider of virtual opioid addiction treatment, raised $50 million
• Vayyar Imaging, a 4D imaging radar company for detecting early-stage breast cancer using RF technology, raised $108 million
• Doctivity Health, provider of a cloud-based software solution that focuses on data and information to positively impact operating performance, raised an undisclosed amount of funding
• Tessa Therapeutics, a clinical-stage cell therapy company developing cancer treatments for hematological malignancies and solid tumors, raised $126 million
• Ever/Body, a beauty and wellness company transforming the cosmetic dermatology industry, raised $55.5 million
• Nice Deer, an insurtech startup bringing health insurance solutions to the Egyptian market, raised $1 million
• Boulder Care, a telehealth provider of medical treatment and long-term support for people overcoming substance use disorders, raised $36 million
• Moon Surgical, a robotic surgery company, raised $31.3 million
• Inventia, a company that builds machines to bioprint human cells in 3D, raised $3.2 million
• Bright Uro, which aims to transform care for lower urinary tract symptoms with innovations in urodynamics, launched with $6 million

(Image source: carecom.com)