HealthDatix owner iGambit to merge with healthcare IT company Clinigence
iGambit, a New York-based company focused on the medical technology markets, has agreed to merge with healthcare IT company Clinigence in a stock-for-stock merger transaction.
Atlanta-based Clinigence provides clinical quality reporting and population health analytics. Its cloud-based platform helps healthcare organizations to offer value-based care and population health management. The Clinigence platform collects clinical and claims data across various settings, information systems, and sources to provide a holistic view of each patient and provider and virtually countless insights into patient populations.
On the other hand, iGambit is the owner of a healthcare technology company called HealthDatix which has a platform for optimizing annual wellness visits/health risk assessments (AWV/HRA) and chronic care management (CCM). iGambit also owns the BioDatix wearable device which helps in remote patient monitoring.
The combination of iGambit and Clinigence, which will continue under the name Clinigence Holdings, Inc., is expected to become one of the top publicly-traded healthcare information technology companies, which will be well placed for the current transition of US healthcare from fee-for-service payments to value-based reimbursements.
iGambit believes that the cloud-based platforms of the enlarged company post-merger will enable clients to utilize data from various sources to operate efficiently and to provide the best possible outcomes for their patients.
Jacob Margolin – CEO of Clinigence said: “We are excited to announce this strategic transaction with iGambit to create a leading publicly-traded population health technology company.
“The merger will create a platform with a comprehensive suite of solutions for health plans, independent physician associations/medical groups, management services organizations, accountable care organizations, hospitals and individual physicians. We see tremendous growth opportunities ahead.”
As per the merger terms, iGambit will issue newly-issued shares of common stock, on a fully-diluted pro rata basis, to Clinigence’s shareholders through a reverse triangular merger in which its 100% owned subsidiary will merge with and into Clinigence.
After the closing of the merger, Clinigence will be the surviving corporation and its original shareholders will own 85% of iGambit’s issued and outstanding common stock while the remaining 15% will be held by the former iGambit shareholders.
John Salerno – CEO of iGambit said: “Our two organizations complement each other and will allow us to advance our technology platform.
“We look forward to the opportunity to combine the resources of both HealthDatix and Clinigence, and are really excited about the future.”
The merger, which is subject to customary closing conditions, is expected to be wrapped up by the end of November 2019.
For Clinigence, Shartsis Friese acted as legal advisor, while Dickinson Wright served as iGambit’s legal counsel.