Uptick in virtual care spurs flurry of M&A activity - with Julian Flannery

March 17, 2022 HIMSS Media Season 3 Episode 13
Uptick in virtual care spurs flurry of M&A activity - with Julian Flannery
Show Notes

Providers quickly adopted virtual care during the COVID-19 pandemic.

Virtual specialist care company Summus Global saw the utilization rate of its platform jump by 3.1 times between January 2020 and January 2021, with membership growing more than 1,000%.

CEO and founder Julian Flannery tells Healthcare Finance News Executive Editor Susan Morse he does not see virtual use declining to pre-pandemic numbers.

Spurred by the growth, seasoned players joined emerging startups in the M&A virtual care space. Oak Street Health acquired RubiconMD for $130 million;  MDLive launched a remote patient monitoring program for virtual chronic care management; and One Medical and Humana introduced their own virtual chronic care offerings. Flannery believes these acquisitions will continue.

Talking points:

  • Summus Global has raised over $40 million in the last 12 months
  • Summus sells to both employers and large health systems
  • Patients are set up with consultations within a network of more than 4,000 specialists across 48 hospitals
  • Over 80% of consumers say they will use virtual care, post COVID-19
  • Over 75% of doctors say they will continue to use virtual care
  • The U.S. physician shortage will play a role in the growth of virtual visits
  • Virtual care is evolving rapidly to more tailored care

More about this episode:

The COVID-19 crisis has 'forced people into virtual mediums,' says CEO

RPM startup Athelas raises $132M and more digital health fundings

Oak Street Health invests only in value-based care

Oak Street Health buys virtual specialty care company RubiconMD for up to $190M