Medical technology company BioTelemetry has entered into an agreement to acquire Geneva Healthcare, a cardiac remote monitoring device-maker, for $45m in upfront cash.
Geneva is an early stage company and is claimed to have developed a cloud-based platform that aggregates data from the device manufacturer systems.
The platform enables the company to remotely monitor all of a physician’s patients with implantable cardiac devices such as pacemakers, defibrillators and loop recorders.
Geneva’s platform offers a single portal for physicians for patient monitoring, viewing monitoring results and request routine device checks, driving significant in-office efficiencies and patient compliance while allowing physicians to focus more on patient care.
BioTelemetry president and CEO Joseph Capper said: “We are extremely excited about the combination of these two market-leading, technology-enabled service providers. Just as we revolutionized remote cardiac outpatient monitoring, with our MCOT service and platform, Geneva is transforming the way physician offices consolidate and manage the monitoring of implantable cardiac devices.
“We believe the enhanced offering this merger creates will provide tremendous benefit to the thousands of clients we serve and will further solidify our leadership position in remote cardiac monitoring.”
BioTelemetry has agreed to pay upfront cash for this transaction along with an additional performance-based earn-out consideration of no less than $20m. Pursuant to this agreement, the shareholders of Geneva may elect to receive the earn-out payment either in cash, stock or a combination of both.
The boards of both the companies had approved the takeover and is expected to be closed in the first quarter of this year, subject to customary closing conditions including the approval of Geneva’s securityholders who represent about 90% of its issued and outstanding equity securities.
The company plans to fund the transaction either with cash on hand, debt or equity or some combination thereof.
Geneva Healthcare CEO Yuri Sudhakar said: “We are excited to join forces with a company that has established sustained success as a healthcare service provider in the same market that we serve. Cardiology providers are looking for strategic solutions to improve patient care and workflow. We provide these solutions by leveraging technology to deliver better patient care and a better patient experience.
“We think this powerful combination of complimentary tech-enabled services provides Geneva the necessary resources to significantly expand our reach in the over $1.0bn domestic implantable cardiac device monitoring market, delivering the much-needed benefits of our technology and service to cardiac practices, physicians and patients.”
In July 2017, BioTelemetry acquired LifeWatch, a Switzerland headquartered healthcare technology and solutions company that specializes in advanced digital health systems and wireless remote diagnostic patient monitoring services.