Healthcare and consumer lifestyle focused company Philips is working to broaden its remote healthcare services through a wearable heart monitor. This new offering will enable patients to avoid clinical environments by detecting intermittent arrythmias during day-to-day life.
Philips will be able to provide these wearable heart monitors through the completion of an announced $2.8 billion acquisition of BioTelemetry. CEO of Philips, Frans van Houten said, “The acquisition of BioTelemetry fits perfectly with our strategy to be a leading provider of patient care management solutions for the hospital and home.”
Philips will pay $72 in cash for each of BioTelemetry’s shares which represents 16.5% premium over the company’s recent closing price. The acquisition will likely be completed in the first quarter of 2021 with an enterprise value of $2.8 billion.
BioTelemetry has helped remotely diagnose 1 million patients each year, leading Philips to expect a 20% increase in growth over the next four years. With Philips’ leading patient monitoring in hospitals and BioTelemetry’s expertise in cardiac diagnostics and remote monitoring, the agreement will result in a leading option for remote patient monitoring. Houten added, “BioTelemetry’s leadership in the large and fast growing ambulatory cardiac diagnostics and monitoring market complements our leading position in the hospital.”
Philips currently offers real-time monitoring, therapeutic devices, telehealth services, and informatics. Philips also has a cloud based HealthSuite digital platform for healthcare delivery.
CEO and president of BioTelemetry, Joseph H. Capper states, “We are delighted to become part of Philips and continue our journey to deliver health information to improve the quality of life and reduce the cost of care. Combined with Philips’ current patient care management portfolio, innovation strength and global scale, we are perfectly equipped to address the rising demand for telehealth and remote monitoring solutions.”
BioTelemetry’s expertise in diagnosis and monitoring of heart rhythm disorders along with its AI data analytics makes it compatible with Philips’ leading position in the health industry. Through this acquisition, patients will be able to find treatment in or out of the hospital, and better monitor their heart health.