Strategic investment in Victorian app developer from top US healthcare co.
18 Oct 2019
Major US healthcare provider HMS is
investing US$7.5 million in Australian digital health company, MedAdvisor, in a move that
could help tackle the global issue of patient non-adherence to medications.
MedAdvisor is Australia’s leading digital medication-management company.
Its intuitive app is designed to make medication management easier by
arranging all medication and prescription information on a patient's smart
phone, tablet or PC.
The app incorporates features such as reminders, pre-ordering of
medications and information on medicines. It is estimated that bundling
medication information in this way improves adherence to chronic
medications by more than 20 per cent.
Based in Texas, HMS has 2,500 employees in 25 offices across the US. The
company also has a major stake in Australian digital health. In 2018, the
US company became one of the founding partners in Australia’s
Digital Health Cooperative Research Centre
With funding from other healthcare companies, the Australian Government and
universities, the centre is one of the world’s largest collaborative
programs focussed on digital health.
According to Peter McGauran, Austrade’s Senior Trade Commissioner in
Houston, Texas, the HMS investment builds on the company’s existing
‘The HMS investment in MedAvisor signals a welcome expansion of the
company’s base of operations into Australia,’ he says. ‘HMS is highly
regarded by hospitals and government agencies for its payment integrity
systems, revenue enhancement solutions, accounts receivable management and
third party electronic claims services.’
aligns with HMS’ strategy to evolve Population Health Management
capabilities in the U.S. and foster continued innovation. It makes HMS the
largest investor in MedAdvisor and HMS will gain one seat on MedAdvisor’s
board of directors.
MedAdvisor will channel the investment into technology development and
domestic growth. It will also accelerate international expansion through
MedAdvisor's partners in the US, Southeast Asia and UK.
MedAdvisor’s agreement with AdherisHealth, for example, enables streamlined
entry into the US via an existing network of more than 26,000 retail
pharmacies reaching over 197 million patients. MedAdvisor will also become
HMS’ preferred partner for the distribution of its digital health programs
in the US and Australia.
‘We look forward to building a highly successful alliance, pairing
MedAdvisor’s platform with our Population Health Management solutions,’
says Bill Lucia, Chairman and CEO of HMS.
‘We expect this to expand utilisation of MedAdvisor's digital adherence
programs across the US through our health plan customer relationships – and
in Australia where we have an opportunity to integrate our patient
engagement solutions and leverage our burgeoning partnerships in that
country,’ he adds.