Alere acquires MedApps

Donna Cusano

International diagnosis, monitoring and health management combine Alere, which is partnering with WellDoc/AT&T ForHealth [TA 10 Aug], last month purchased remote telehealth monitoring developer MedApps of Scottsdale, Arizona. The news is not yet announced through the usual channels but confirmed in Mobihealthnews with CEO Kent Dicks. Alere has been on a quiet alliance/buying tear in telehealth for home health (AirStrip in 2010, HTL in UK last year TA 21 Feb 2011) including introducing the former to the home health market. We also note that MedApps was one of the first on board with AT&T ForHealth, so will there be more Alere alliances with AT&T services in the future? MedApps has also been aggressive in its own partnerships with other companies such as VRI, CardioNet and SAP, so Alere now has entree with these companies. The official announcement (according to the article, perhaps next week) may give us more details, but as industry observers of MedApps, we congratulate Kent and his team for their persistence since 2007 in what often seemed a Sisyphean task of gaining credibility with buyers (and the Feds), international clearances (FDA, FCC, CE, Health Canada) and advancing their technology, without deep pockets. We hope Alere has the wisdom to keep this team in place. Alere acquires MedApps for home health monitoring

2 thoughts on “Alere acquires MedApps”

  1. I note that Alere’s pockets are even less deep since their recent Global FDA recall owing to bad product batches that has affected their revenues and share price.
    Recall notice: [url]http://www.fda.gov/Safety/MedWatch/SafetyInformation/SafetyAlertsforHumanMedicalProducts/ucm311405.htm[/url]
    Revenues:[url]http://www.fiercemedicaldevices.com/story/recall-charges-negate-aleres-revenue-growth-q2/2012-08-09[/url]
    Share price:[url]http://www.streetinsider.com/Corporate+News/Alere+%28ALR%29+Slumps+on+Potential+Triage+Products+Recall,+HHS+Subpoena/7429072[/url]

  2. Kudos to kent Dicks for convincing Alere to purchase Medapps. After multiple pilots, they were still having hard time getting paying customers. Deals with AT&T, VRI were not producing much in revenue.

    Steve- it will be very intersting to learn the purchase price vs revenue. It will help others plan their multiples and valuations.

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