Telehealth provider Doctor on Demand and clinical navigation platform Grand Rounds are merging to create a new integrated, multibillion-dollar virtual care company.
The new company will combine Grand Rounds' data-driven clinical navigation platform, which helps patients find the right care and expertise for specific conditions, with Doctor on Demand's virtual care offering, according to a March 16 news release.
Both Doctor on Demand and Grand Rounds will continue to operate under their existing brands for the time being, and Grand Rounds CEO Owen Tripp will serve as CEO of the new expanded virtual care business.
Both companies will continue to operate under their existing brands for the time being.
The transaction is expected to close in the first half of 2021. Grand Rounds was last valued at $1.34 billion in a financing round in mid-2020, while Doctor on Demand was valued at about $820 million, according to SharePost, CNBC reports.
No new valuation has been established in the merger since it's an all-stock combination without new capital from outside investors, but the companies claim to have hundreds of millions of dollars in combined annual revenue, according to CNBC.