Mergers & Acquisitions

With an eye toward taking the healthcare supply chain to new levels, UPMC on July 8 launched Pensiamo, a new company whose goal is to help hospitals improve the supply chain, where costs are high and getting higher.

The companies expect the acquisition to close on July 1.

The move, announced June 28, expands Medsphere’s enterprise healthcare IT products and services to include ChartLogic’s ambulatory EHR, practice management and medical billing technology.

McKesson Corp. and analytics company Change Healthcare are joining forces to create a new health IT entity. McKessson will combine its information technology business with Nashville-based Change, formerly known as Emdeon.

The combined company’s worth is pegged at $10 billion.

The new organization will operate under parent company Ascension and sweeping leadership and structural changes will accompany the consolidation. 

Marking a "new chapter as a company," Nokia Technologies announced Tuesday that it plans to acquire French connected health device maker Withings for $191 million. Withings' smartphone-connected scales, blood pressure cuffs, activity trackers and, recently, thermometers can enable remote patient monitoring and population health management programs. Nokia has been searching for a new focus area since it sold its mobile phone business to Microsoft. In March, Nokia Technology President Ramzi Haidamus suggested that future could lie with healthcare.  "We’re also looking at another area where we have not launched any products – digital health," he told Fortune last month. "Digital health is something that comes very natural to Nokia... A lot of research is happening right now in the field of digital health." With the Withings announcement, Haidamus has continued to speak of digital health as a major new direction for Nokia. "We’re now starting a new chapter as a company, this one focused on connecting you to better health through technology," he wrote in a statement. "We aim to help you lead a happier, healthier life through the kind of beautifully designed products that you expect from Nokia," he added. "To help us do this as fast as possible, we will be welcoming Withings into the Nokia family. A leader in digital health products and apps designed to improve everyday well-being and long term health, Withings will combine perfectly with Nokia’s heritage of mobility and connectivity." Withings CEO Cedric Hutchings also shared his thoughts in a blog post. "We started Withings in 2008 to explore the possibilities provided by the Internet of Things,” he wrote. "Today we can proudly say we are leading the connected health revolution, inventing smart, beautiful things to give people the knowledge they need to live happier, healthier lives. When we were approached by Nokia, it was inspiring to discover how perfectly aligned our visions are. Together, we believe we can truly transform the world." Hutchings also assured Withings users that the acquisition won’t lead to any change in the experience of using Withings products or apps.  "We’ve been impressed with the plans the Nokia team has shared with us both for Preventive Health and Patient Care," he wrote. "As soon as we close the deal, we can start working together to determine our way forward as one team with a broad but focused portfolio of incredible products and innovations." A version of this story was originally posted by Healthcare IT News' sister site, MobiHealthNews.

CloudMedx, a big data health analytics company, has acquired Gyrus Labs to extend its CloudMedx Analytics Platform, which is designed to help improve patient care through data insights.

The first quarter of this year saw a 27 percent spike in health IT venture capital and the most M&A activity in a single quarter, according to a report from Mercom Capital Group.

Rather than streamlining operations such as clinical and IT that could create significant savings, many merged organizations continue running acquired hospitals as individual entities, the consultancy found.