Telehealth company Amwell has signed a definitive agreement to acquire two digital health startups.
Amwell is set to acquire SilverCloud Health, a digital mental health platform, and Conversa Health, an automated virtual health company, according to a July 28 news release.
Five things to know:
- Both digital startups have shown they can enable a blend of in-person, virtual and digital care while lowering operational and healthcare costs, according to the release.
- With the acquisitions, Amwell plans to enhance its reach to patients through interactive care tools. Amwell will also expand its client base to include hospitals, health systems, payers and employer clients of SilverCloud and Conversa.
- SilverCloud delivers cognitive behavioral health programs and is already used by Optum, Oakland, Calif.-based Kaiser Permanente and 300 other organizations.
- Conversa assists health systems in remotely managing and engaging patients through automated text-based conversations. It is currently used by New Hyde Park, N.Y.-based Northwell Health, UCSF Health (San Francisco) and several other health systems
- The purchase price for both startups is about $320 million. Amwell said it will fund the transactions through a mix of stocks and cash. The deal is expected to close in the third quarter of this year.