Software Company Sets Sights On Providers That Still Use Fax Machines
New document automation software from Tennr targets providers that still rely on outdated fax machine technology, thanks to a funding deal from Andreessen Horowitz. Also: The surprise medical bill law has actually benefitted providers.
Axios:
Andreessen Backs Startup To Fix Faxes In Health Care
Tennr, a provider of document automation software for health care practices that still rely on faxes, raised $18 million in Series A funding led by Andreessen Horowitz. The antiquated communications tool remains pervasive in U.S. health care, despite policies aimed at phasing it out. (Primack, 3/26)
Axios:
Surprise Medical Bill Law Has Been Good For Providers
The federal process for resolving billing disputes for out-of-network care has to date yielded payouts well above what Medicare and most in-network private insurers would pay providers, according to a new Brookings Institution analysis provided first to Axios. (Owens, 3/27)
Roll Call:
Experts Say Medicaid Rebate Change Is Behind Inhaler Price Cuts
A recent tweak to a Medicaid formula could be behind the shake-up to inhaler products, a series of changes that have both benefited and harmed patients with asthma and chronic obstructive pulmonary disease, or COPD. (Clason, 3/26)
KFF Health News:
Some Medicaid Providers Borrow Or Go Into Debt Amid ‘Unwinding’ Payment Disruptions
Jason George began noticing in September that Medicaid payments had stalled for some of his assisted living facility residents, people who need help with daily living. Guardian Group Montana, which owns three small facilities in rural Montana, relies on the government health insurance to cover its care of low-income residents. George, who manages the facilities, said residents’ Medicaid delays have lasted from a few weeks to more than six months and that at one point the total amounted to roughly $150,000. (Houghton, 3/27)
On other developments across the health industry —
The Wall Street Journal:
Johnson & Johnson Considers Deal For Shockwave Medical
Johnson & Johnson JNJ 0.35% is in talks to acquire the medical-device maker Shockwave Medical SWAV 10.04% pointing triangle. A deal could be completed in the coming weeks, assuming talks don’t fall apart, according to people familiar with the matter. It is also possible another suitor could emerge. (Thomas and Cooper, 3/26)
Modern Healthcare:
Ascension Sells 3 Michigan Facilities To MyMichigan Health
Ascension signed a definitive agreement to sell three northern Michigan hospitals and an ambulatory surgery center to MyMichigan Health as the nonprofit health system continues to downsize its Michigan footprint. ... “This transition will ensure that Saginaw, Tawas City and Standish have sustainable, quality healthcare access long into the future,” Jordan Jeon, interim regional president and CEO of Ascension Michigan’s northern region, said in a news release. (Kacik, 3/26)
Modern Healthcare:
UnitedHealth Group's Optum To Buy Steward Physician Group
UnitedHealth Group’s Optum Care unit plans to acquire Steward Health Care's physician group in a deal that would extend its reach as the nation's largest employer of physicians.Optum Care, a subsidiary of Optum, said in a regulatory filing with the Massachusetts Health Policy Commission that it plans to buy Stewardship Health, the for-profit health system’s physician group that spans nine states. Under the proposed transaction, Optum would acquire all of the issued and outstanding stock of Stewardship Health. (Kacik, 3/26)
Boston Globe:
Steward Health Care Has Deal To Sell Doctor Network To UnitedHealth
Troubled hospital operator Steward Health Care, grappling with a financial crisis that’s engulfed its eight Massachusetts hospitals, has moved to shore up its finances by striking a deal to sell its nationwide physician network to insurance giant UnitedHealth’s Optum Care unit. (Pressman, Bartlett and Weisman, 3/26)
Boston Globe:
Roche Subsidiary Foundation Medicine Opens New Headquarters
Contemporary paintings by artists who have overcome homelessness or disabilities greet visitors in the lobby. Upstairs in the cafeteria, employees order lunches served by local restaurants, including barbecued pulled pork sandwiches from Pennypacker’s. On the top floor, workers can savor a panoramic view of the Seaport District and downtown Boston. This is the new headquarters of Foundation Medicine. (Saltzman, 3/26)
Reuters:
Rite Aid Reaches Bankruptcy Settlement With Lenders, DOJ, McKesson
Pharmacy chain Rite Aid has reached a settlement with its lenders, the U.S. Department of Justice, and drug supplier McKesson Corp clearing a path for Rite Aid to complete its bankruptcy case by late April, a company lawyer said Tuesday. "We have reached an agreement on all key points with all key economic stakeholders," Rite Aid attorney Aparna Yenamandra said at a bankruptcy court hearing in Trenton, New Jersey. (Knauth, 3/26)
The Wall Street Journal:
Merck’s $11.5 Billion Bet On Its Next Big Drug Finally Arrives
Merck MRK 0.17% is making a big bet that its new drug, approved Tuesday in the U.S. for a potentially fatal lung disease, will take the company a long way toward heading off a massive revenue decline later this decade. The drug, which will sell under the name Winrevair, treats a condition called pulmonary arterial hypertension that affects nearly 40,000 people in the U.S. In 2021, Merck paid $11.5 billion for the company developing the medicine. Some analysts estimate sales as high as $7.5 billion a year. (Loftus, 3/26)
