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Health Catalyst Acquires Medicity, Extending Its Leadership as the Data Platform for Healthcare

SALT LAKE CITY, July 11, 2018 – Health Catalyst, a leader in next-generation data, analytics,  and decision support, today announced completion of its acquisition of Medicity, one of the nation’s largest population health management companies with solutions for health information exchange (HIE), business intelligence, and provider and patient engagement.

Medicity adds to the Health Catalyst customer base more than 100 clients including 21 state and regional HIEs, large employers, health plans, 75 health systems encompassing over 1,000 hospitals and more than 185,000 providers in physician groups and extended care facilities, in support of over 75 million patients. The combined company is positioned to solve many of the most pressing problems of large healthcare delivery networks as they seek to improve the quality and lower the cost of patient care across communities.

“The future of healthcare will rely on the broad and more effective use of data to improve quality and costs, and with this acquisition, Health Catalyst can combine its expertise in data, analytics and decision support, including a data asset of over 100 million patients, with the expertise of Medicity in data exchange across the continuum of care,” said Dan Burton, CEO of Health Catalyst. “Medicity’s experienced team, extensive client roster, expansive data sets, and significant transactional capabilities are a compelling complement to Health Catalyst’s team, capabilities and offerings. Together, we’re well positioned to scale and to offer solutions designed to help our clients apply data-driven insights in a value-based care environment.”

The acquisition combines Medicity’s deep clinical dataset of over 75 million patients and significant transactional capabilities with Health Catalyst’s Data Operating System (DOS™) including AI-driven analytics and business intelligence, and a broad set of financial, cost, patient outcomes, and supply chain data from over 400 hospitals, 4,000 clinics and a data set of over 100 million patients nationwide. The unique combination will empower connected communities with the insights required to improve healthcare outcomes, control costs, and advance population health management.

“The combination of Medicity with Health Catalyst represents the best of both worlds – the transactional capabilities that our customers have been asking for, along with the analytics that Medicity’s customers have sought, delivered now from one company,” said Health Catalyst President Brent Dover, who was president of Medicity before joining Health Catalyst in 2013. “We share complementary technologies, a home base in Salt Lake City, a culture of innovation, and a commitment to improving healthcare. We believe customers of both companies will benefit.”

The integration of Medicity significantly expands the capabilities of the Health Catalyst Data Operating System, which will now have the unique ability to receive and analyze data in real time, and then embed the resulting insights into the workflow of virtually every Electronic Health Record (EHR) on the market today. The combined companies will also have a compelling solution for, and expertise in, the loosely affiliated community ambulatory care management space. These organizations, primarily independent physician groups, are in dire need of a simple means of integrating data between EHRs at the patient encounter level, with enough clinical quality analytics to meet the legal requirements of a Clinically Integrated Network.

“Adding Medicity’s data skills and technology, particularly in physician-led value-based care networks, is a great complement to our solutions,” said Dale Sanders, Health Catalyst’s president of technology. “Both customer bases will benefit from this acquisition. Medicity is very skilled at delivering a high volume of data exchange transactions with high availability. Health Catalyst excels at the bulk movement, curation, and analysis of data, while Medicity has complementary data content that will enhance the precision of our AI algorithms. They have great technology for interacting with literally every EHR under the sun, which will enhance our ability to embed analytics and decision support at the point of care, regardless of who the EHR vendor is.”

Sanders added, “I’ve always been intrigued by the analytics of HIE data traffic; not the data content but rather the network analysis of message types, destinations, and the timing of those messages. We plan on combining that metadata analysis with our data content analysis for new insights into population health, referral patterns, and patient outcomes in a region.  For the promise it offers, I believe this is a good acquisition for the industry.”

About Health Catalyst

Health Catalyst is a next-generation data, analytics, and decision-support company, committed to being a catalyst for massive, sustained improvements in healthcare outcomes. We are the leaders in a new era of advanced predictive analytics for population health and value-based care with a suite of machine learning-driven solutions, decades of outcomes improvement expertise, and an unparalleled ability to unleash and integrate data from across the healthcare ecosystem. Our Health Catalyst Data Operating System (DOS™)—a next-generation data warehouse and application development platform powered by data from more than 100 million patients, and encompassing over 1 trillion facts—helps improve quality, add efficiency and lower costs for organizations ranging from the largest US health system to forward-thinking physician practices. Our technology and professional services can help you keep patients engaged and healthy in their homes, communities, and workplaces, and we can help you optimize care delivery to those patients when it becomes necessary. We are grateful to be recognized by Fortune, Gallup, Glassdoor, Modern Healthcare and a host of others as a Best Place to Work in technology and healthcare. Visit www.healthcatalyst.com, and follow us on TwitterLinkedIn and Facebook. 

July 11, 2018 I Written By

John Lynn is the Founder of the HealthcareScene.com blog network which currently consists of 5 blogs containing over 11,000 articles with John having written over 5500 of the articles himself. These EMR and Healthcare IT related articles have been viewed over 18 million times. John also manages Healthcare IT Central and Healthcare IT Today, the leading career Health IT job board and blog. John is co-founder of InfluentialNetworks.com and Physia.com. John is highly involved in social media, and in addition to his blogs can also be found on Twitter: @techguy and @ehrandhit and LinkedIn.

ClearDATA Secures Funding from Norwest Venture Partners for Healthcare Cloud Computing

Cloud computing is one of the fastest growing segments in healthcare as organizations look to reduce costs of expensive hardware, maintenance, and support. ClearDATA provides HIPAA-compliant cloud hosting, backup, storage, and disaster recovery to hospitals and single practice providers. .

ClearDATA CEO Darin Brannan was the founder and CEO of Verio, Inc. and managed it through its successful IPO and later sale for over $6 billion.  This is the third company Norwest Venture Partners has backed with Brannan.

Capital to Meet Growing Customer Demand and Increase Market Penetration in Cloud Hosting and Information Security Services

Phoenix, AZ, March 28, 2012 ClearDATA Networks, Inc., the leading healthcare cloud computing platform and service provider, today announced it has secured funding from Norwest Venture Partners (NVP) and several industry angel investors. The company has demonstrated strong revenue growth through its existing customer base which ranges from single provider practices to small and large hospitals throughout the U.S.  Over the past three years, ClearDATA has entered into several strategic partnerships and currently provides cloud hosting and information security services to over 10,000 healthcare practitioners.  The funding will be used to grow the company’s products and presence in order to meet the increasing demand for its secure, HIPAA-compliant cloud computing services in the healthcare industry.

ClearDATA is serving the $35 billion Healthcare IT Market, which is growing at an estimated 20% annually. This industry includes thousands of healthcare providers who must migrate to electronic records and maintain vast amounts of data, which currently exist on paper charts, film or tape. These healthcare providers need storage and processing solutions that can be securely accessed and analyzed anywhere, and at any time.  ClearDATA’s solutions meet this need by providing its customers with measurable cost savings as well as increased efficiency and security that is auditable.

“We have great confidence in the ClearDATA team’s ability to cement its leadership position in the healthcare cloud computing market segment,” said Robert Abbott, general partner, Norwest Venture Partners.  “The healthcare industry is experiencing tremendous growth as the transition from paper based records and labor intensive processes to electronic based records and automated solutions. Providers have an increasing interest in cloud computing, but strong concerns about information security and patient privacy.  ClearDATA has successfully developed and implemented the industry’s most secure and cost effective HIPAA-compliant cloud computing platform. Healthcare software companies, VARs, hospitals, clinics and physician practices have already experienced a tangible return on their investment with ClearDATA, and we’re confident this trend will continue.”

ClearDATA CEO Darin Brannan is a veteran serial entrepreneur with more than 20 years of combined venture capital, entrepreneurial and public company executive experience.  He was the founder of two successful NVP portfolio companies, Verio, Inc. and Website Pros (Web.com), both of which achieved successful IPOs and market leadership in their respective cloud/hosting segments. This represents the third time NVP has backed Brannan. 

“Norwest Venture Partners is the perfect partner for ClearDATA and we are extremely excited to have NVP as an investor,” said Darin Brannan, CEO of ClearDATA Networks, Inc.  “Our company is experiencing explosive growth with new and prominent customers throughout the entire spectrum of small, medium and large healthcare organizations and providers.  This funding will enable us to fully leverage our portfolio of service offerings to maximize our market position and revenue potential.” 

ClearDATA has a strong partnership and success with HP in providing healthcare-as-a-service and private cloud IT infrastructure utilizing technology from across the HP enterprise portfolio, including servers, storage, networking, software and services. ClearDATA also recently joined the HP CloudAgile Service Provider Program.

“ClearDATA’s healthcare cloud computing platform and information security services provide an exceptional hosting solution to organizations seeking to securely store and manage their patient information and medical images,” said David DeAngelis, Health and Life Sciences CTO, HP.  “Together, HP and ClearDATA are helping healthcare providers realize the numerous benefits of the cloud with our converged medical infrastructure, while also maintaining the highest standards for data security and regulatory compliance.”

ClearDATA customers include numerous industry leading ISVs to provide cloud-enabled, HIPAA-compliant versions of their respective software solutions.  “Medicity selected ClearDATA as its western US iNexx and Grid hosting provider because we wanted the best possible cloud computing platform for our customers in terms of security, performance, and reliability,” said Scott Holbrook, executive vice president for Medicity, the industry’s largest provider of HIE technology.  “After utilizing ClearDATA for nearly nine months, they have surpassed our highest expectations for technical expertise and professionalism, and set new standards for information security and patient privacy.” 

Several industry angel investors also invested in ClearDATA Networks in this round of financing. This group of healthcare luminaries includes: Jeff Margolis, Angel and Founding CEO and Chairman Emeritus of The TriZetto Group; Evan Hackel, Angel and Board/investor at MD Tech Pro and others.

About Norwest Venture Partners (NVP)

Norwest Venture Partners (NVP) is a global venture and growth equity investment firm that manages more than $3.7 billion in capital. Headquartered in Palo Alto, California, NVP has subsidiaries in Mumbai and Bengaluru, India and Herzelia, Israel and Hong Kong. NVP makes early to late stage venture and growth equity investments across a wide range of sectors including: information technology, business services, financial services, infrastructure, technology enabled services and consumer. NVP has actively partnered with entrepreneurs to build great businesses for more than 50 years and has funded nearly 500 companies since inception. For more information visit: www.nvp.com.

About ClearDATA Networks

ClearDATA is the market leader for cloud computing and information security services for healthcare providers, software vendors and VARs.  ClearDATA’s services enable providers to fully automate and securely manage healthcare medical records, applications, IT infrastructure and digital storage. The company provides HITECH HIPAA-compliant cloud and hosting infrastructure and managed services, offsite backup and disaster recovery, medical image archiving, information security and world-class support. The company offers HIPAA Security Risk and Remediation services through its U.S. Healthcare Compliance division to the healthcare industry in order to ensure that they meet the rigorous standards of security required for protected health information to demonstrate Meaningful Use. For more information, call 602-635-4000, email: sales@cleardata.net or visit: www.cleardata.net.

March 28, 2012 I Written By

Ohio Reaches Target for EHR Adoption: More than 6,000 Physicians Signed Up

COLUMBUS, Ohio – February 15, 2012 – In Ohio, the future is now. The Ohio Health Information Partnership (The Partnership) is creating a statewide environment for improved patient safety and coordination of care, having signed up more than 6,000 primary care physicians to use electronic health records, the highest number of any Regional Extension Center in the nation.

“The fact that so many physicians have signed up shows the commitment that Ohio physicians have in utilizing new technologies to improve patient care and outcomes,” said Brent Mulgrew, an executive board member of The Partnership and executive director of the Ohio State Medical Association (OSMA).

The Partnership also committed to the Office of the National Coordinator of Health Information Technology (HIT) that it will support outreach so that 10,000 physicians can meet Medicare and Medicaid federal meaningful use requirements in 2012.

Using Medicity technology, The Partnership’s CliniSync Health Information Exchange (HIE) has 56 hospitals signed up, including rural and underserved regions. CliniSync also has commitments from one health plan, one national lab, nine physician groups and four other patient care organizations (labs, clinics, paramedics). St. Rita’s Medical Center in Lima, Ohio, is now live.

“Rural areas have traditionally been the low folks on the totem pole,” said Jon Wills, executive director of the Ohio Osteopathic Association and an executive board member. “The HITECH Act specifically targeted areas of greatest need to improve patient access and coordinate care more effectively.”

Alongside the regional, grassroots approach that will lead to full statewide exchange, The Partnership is working with state leaders in public reporting, the expansion of patient-centered medical homes, behavioral health homes and easier transitions for people to long-term care, nursing homes and home health through HIE.

Dr. Brian Bachelder, a family practitioner who serves on The Partnership’s board, said physicians show a strong commitment to patients when they choose this advanced technology.

“A physician can go from giving good care to great care, just by organizing the patient’s information. The more your doctor knows about you, the better the care provided,” Dr. Bachelder said. “Now, multiply that by hundreds when we link all of your care together through our statewide health information exchange, CliniSync. More information, giving better care in seconds – that’s powerful. You sure can’t do that on paper,” he said.

February 17, 2012 I Written By

Medicity Reports Health Information Exchange Market Accelerated in 2011 As Organizations Prepare for Payment Reform and Accountable Care Models

Medicity’s health information exchange technology enables hospitals, clinics, physician practices, long-term care facilities and other health care organizations to securely exchange patient health information across their disparate locations and information systems. With Medicity’s solutions, for example, a physician seeing a patient for the first time can use her electronic health record (EHR) system to securely request and view a consolidated summary of a patient’s care history – including medications, allergies, vital signs, care plan, insurance information and more – whether the patient received care at a hospital, another physician practice, or a long-term care facility. Having this information on hand increases patient safety and convenience while decreasing unnecessary duplication of medical procedures – reducing the cost of care.

Medicity contracted with 43 health information exchanges in 2011

SALT LAKE CITY – Feb. 15, 2012– Medicity reports it saw acceleration in the number of health information exchanges being formed in the second half of 2011, supporting predictions recently voiced by Dr. Farzad Mostashari, National Coordinator for Health Information Technology, who said that health information exchange would turn a corner and take off in 2012. Medicity signed a record number of HIE contracts in 2011, with 43 health information exchanges (HIEs) contracting for its solutions, including 22 new HIE contracts that added approximately 150 hospitals to the Medicity ecosystem. An additional 21 existing clients expanded their health information exchange capabilities.

“Our business growth is a direct reflection of organizations building health information exchange to prepare for payment reform and new accountable care models,” said Brent Dover, president of Medicity. “The ability to securely exchange clinical data is one of the most critical but missing elements in helping to drive more cost-effective, quality patient care. Medicity’s capabilities enable that secure exchange of patient information to help physicians improve care as well as effectively track and manage the health care of their entire patient population across a spectrum of care providers.”

Medicity’s health information exchange technology enables hospitals, clinics, physician practices, long-term care facilities and other health care organizations to securely exchange patient health information across their disparate locations and information systems. With Medicity’s solutions, for example, a physician seeing a patient for the first time can use her electronic health record (EHR) system to securely request and view a consolidated summary of a patient’s care history – including medications, allergies, vital signs, care plan, insurance information and more – whether the patient received care at a hospital, another physician practice, or a long-term care facility. Having this information on hand increases patient safety and convenience while decreasing unnecessary duplication of medical procedures – reducing the cost of care.

“Our growth confirms that health information exchange has gained traction and validates the success Medicity has had over the past 10 years in establishing the most extensive footprint of connected health care providers in the nation,” Dover said. “Medicity’s technology lays that HIE foundation, which is essential to the success of accountable care organizations and other new payment models.”

Medicity’s 43 contracts include solutions for HIEs run by private health systems, community exchanges sponsored by third-party health information organizations and direct physician-to-physician exchange through Medicity’s iNexx platform.

About Medicity

Medicity, the industry standard for health information exchange (HIE), is the leading innovator and largest provider of HIE technology – with more than 800 hospitals and 250,000 physicians in its connected ecosystem. Medicity’s solutions empower hospitals, physicians and HIEs with secure access to and exchange of health information – improving the quality and efficiency of patient care locally, regionally and nationally. For more information, please visit www.medicity.com or follow us at twitter.com/Medicity.

February 16, 2012 I Written By

Multiple States and Vendors Agree On Standard Health Data Connectivity Specifications

Workgroup defines “plug and play” connections between electronic health records and health information exchanges

New York, NY – A group of states and vendors focused on eliminating the barriers to sharing electronic health records (EHRs) today issued a set of technical specifications to standardize connections between healthcare providers, health information exchanges (HIEs) and other data-sharing partners. The specifications are now available for the public to view at www.interopwg.org.

The objective of the EHR/HIE Interoperability Workgroup is to define a single set of standardized, easy-to-implement connections to increase the adoption of EHRs and HIE services. The effort leveraged existing published standards for interoperability from the Office of the National Coordinator (ONC). Ultimately, the specifications aim to remove impediments that make it difficult for EHRs to connect to HIEs, including technical specification differences, wait times for interface development, and high costs.

The workgroup was originally formed by the New York eHealth Collaborative (NYeC) and is comprised of its federally designated counterparts in seven states (California, Colorado, Maryland, Massachusetts, New Jersey, New York, and Oregon) representing approximately 30% of the country’s population.  The eight EHR vendor members include Allscripts, eClinicalWorks, e-MDs, Greenway Medical Technologies, McKesson Physician Practice Solutions, NextGen Healthcare, Sage Healthcare Division, and Siemens Healthcare. In addition, there are three HIE services vendors participating, including Axolotl, InterSystems, and Medicity.

Doug Fridsma, MD and PhD, Director of the Office of Standards & Interoperability at the Office of the National Coordinator of Health Information Technology, commented, “I am encouraged by and excited about this type of collaboration, which has the potential to advance real-world pilots, implementation and feedback on standards for health information exchange. The results of this kind of initiative can help us advance health IT nationwide.”

“This is a crucial step,” said David Whitlinger, Executive Director of NYeC. “We started this as a New York State initiative, but we soon realized that many other states were facing the same interoperability challenges and many of the EHR and HIE vendors were also looking for clarity from the marketplace to define their product roadmaps. Collectively, the group is now looking forward to widespread adoption and market preference for the products that employ the specifications.”

The first set of specifications focuses on two use cases and the detailed data and metadata specification for a compliant Continuity of Care Document. The first use case, Statewide Send and Receive Patient Record Exchange, describes how encrypted health information can be transmitted over the internet. The second, the Statewide Patient Data Inquiry Service Use Case, describes the clinician’s ability to query an HIE for relevant data on a specific patient.

The workgroup members collaborated to leverage existing HL7 standards, technical frameworks from IHE International, and HIE implementations to provide a fully detailed implementation specification. The implementation specifications were also aligned with Beacon community guidelines to be capable of gathering information required for reporting to the ONC.

“I applaud the work that the EHR/HIE Interoperability Workgroup is doing to move states from implementation guides to production. I expect that the flexibility and agility of the EHR/HIE Interoperability Workgroup will serve as an ideal laboratory for standards that are rapidly evolving,” stated John Halamka, MD, Co-Chair of the HIT Standards Committee, Chief Information Officer of Beth Israel Deaconess Medical Center, Chief Information Officer at Harvard Medical School, Chairman of the New England Healthcare Exchange Network.

November 13, 2011 I Written By