Livongo has had fairly a 12 months in a half. Final July, it went public with a list value of $28 a share. On the time of the acquisition, every share was valued at roughly $159. Its information has additionally included main partnerships, together with a cope with the Federal Worker Well being Advantages Program, which despatched its inventory costs leaping.
At the moment there’s quite a lot of hypothesis about what’s subsequent for the joint Teladoc and Livongo enterprise. Earlier this week MobiHealthNews caught up with Dr. Jennifer Schneider, the president and chief medical officer of Livongo, to speak about what this acquisition might imply sooner or later.
“If you consider actually delivering a consumer-centric digital care-delivery expertise that sits throughout, acute, episodic and power care … then escalation to the best supplier and proper care staff on the proper time, all pushed by underlying knowledge science, [is key]. While you add Teladoc plus Livongo what you get is that entire expertise. What Teladoc brings is an unbelievable entry to 70 million folks with a great deal of knowledge and the flexibility to ship a one-to-one service at scale. What Livongo brings is a digital-first footprint, a robust knowledge science engine and the flexibility to ship a one-to-many at scale, so it truly is the mix of the 2 organizations that’s delivering on that shared widespread imaginative and prescient of this consumer-centered digital care.”
As with every acquisition with knowledge concerned, there are at all times questions. She spelled out how Livongo thinks of that knowledge and the way it may be used sooner or later.
“One of many issues that we maintain as agency tenet is the information we’re accessing across the units … gathering the biometric knowledge actually belongs to the members. It’s actually the members’ knowledge, and we’re going to proceed to place the members on the middle of that and proceed to leverage the information solely in a method to permit the perfect optimum look after that particular person individual. That features or might embrace escalating to a telehealth supplier. It might embrace sharing that together with your current supplier group, whether or not that be family and friends or different docs at brick-and-mortar.”
The merger is but to be finalized, as are the small print of what the mixed firm might appear to be sooner or later, however we do know that there could also be some kind of collaboration or escalation from Livongo’s power care platform to Teladoc’s digital visits.
“I’ll hypothetically offer you an instance. Think about [there’s] someone with hypertension on the Livongo platform, and what we discover is that this individual is taking their medicine, however their blood strain nonetheless stays elevated. We begin to say they’re in all probability not on the best medicine. With Teladoc as a useful resource together with Livongo, we will then transition that individual to the Teladoc supplier with the underlying data for these adjustments to be made with higher well being outcomes for that particular person member.”
Whereas the enterprise mannequin is coming collectively, the precise management continues to be be labored out. Up to now, we all know that Teladoc CEO Jason Gorevic will proceed in his function and head up the three way partnership. As a part of the deal, Livongo will maintain 5 out of the 13 board seats, and the present board chair, David Snow, will stay in his present seat. As for the specifics, there’s nonetheless a lot unknown.
This acquisition additionally brings to mild the rising subject of digital well being, and what future care fashions might appear to be, particularly as bigger corporations start to merge.
“I give it some thought as much less … ‘What number of startups do we’d like?’ versus, ‘How can we greatest clear up issues for folks?” she stated. “It was very clear for us that, as profitable as we had been as a publicly-traded firm within the chronic-condition house, so as to actually get to scale and ship on our imaginative and prescient round this linked digital care supply we would have liked to have extra prescribing energy and integration with suppliers. From the Teladoc lens they may see that they wanted extra digital-first, extra knowledge science and extra deal with power situations, which [drive] 90% of all healthcare prices at this time.”
Whereas it seems to be like the way forward for this joint firm will probably be going in direction of a mixed mannequin, power care will nonetheless be a primary focus for Livongo.
“We began in diabetes and by no means meant to be a diabetes [company]. If we had been, we might have named our firm one thing about diabetes, however we didn’t. We named our firm Livongo, stay on the go. What we did was say, ‘Let’s begin with diabetes. Let’s take a look at that situation. Let’s enhance that have.’ And, in doing so, what we realized was 70% of our members with diabetes even have hypertension, one other 40% additionally endure from hypertension [and] one other 30% are scuffling with weight. As you possibly can see, the concentric buildup of the corporate was about addressing, on the core, what was the member expertise, and what did we have to ship to make that have higher?”