Another virtual care company hits the New York Stock Exchange as UpHealth ($UPH) emerges from the combined merger of UpHealth Holdings and Cloudbreak Health with the GigCapital2 SPAC. We’ve got UpHealth’s CEO Ramesh Balakrishnan and President Jamey Edwards here on “Listing Day” to catch us up on the strategic developments and integrations that have occurred since UpHealth’s SPAC IPO was first announced at the end of 2020.
You might remember this deal as the one that brought together six different companies across four of the fastest growing areas of digital health: global telehealth, integrated care management, digital pharmacy, and behavioral health. The story there is still the same, but the value proposition around the combined offering has gelled. UpHealth views itself as a partner to local healthcare providers around the world who need a hand building the integrated digital care model needed to meet growing patient demands and economic realities of a “digitally transformed” healthcare experience. How is this different than what we’re seeing from other publicly-traded telehealth companies like Amwell, Teladoc, and Hims? Or, what about those telehealth-empowered retail giants like Amazon, Walmart, and CVS Health who, like UpHealth, see a lot of upside in the duality of both making care more convenient digitally, while also seamlessly integrating with local in-person care centers? We’ve got all the talk you’ll want about UPH’s positioning, business model, revenue guidance (still $180M-190M for 2021) AND even some client name dropping (Amazon? Really?!) as the stock hits the market.
Bonus: Want to go deeper into this deal? For more on UpHealth, check out our earlier chat with Chairman Chirinjeev Kathuria, Jamey Edwards, and Al Gatmaitan from February 2021. The link is right here: https://youtu.be/50PIVdUjnPU
The executive leadership team of UpHealth, the self-described “global digital health super-company” that’s headed toward the public market via a SPAC that’s brought together six companies, 10-years of health tech innovation, and a war chest of $285M dollars, stops by to talk about growth plans and grabbing market share. UpHealth’s Chairman & Founder, Dr. Chirinjeev Kathuria, Co-CEO & President Dr. Al Gatmaitan, and future COO Jamey Edwards talk through what Jamey says is “really a revenue story” about the fastest growth areas of digital health. Global telehealth, integrated care management, digital pharmacy, and behavioral health will be UpHealth’s sweet spots. The newco is positioning itself as a “one-stop shop” for the digital healthcare infrastructure that will support a local healthcare organization in rolling out digital care services and integrating them with their in-person care continuums. This is different than, say, a Teladoc or an Amwell, which in addition to providing infrastructure also have their own tech-enabled medical groups, which can sometimes be viewed as competitive to their customers. The global nature of UpHealth is another differentiator, particularly in how it hopes to ultimately make it possible for highly specialized care from the US to be “exported” to countries abroad AND for lower cost care for lower acuity issues to be “imported” in. With $190M in revenue projected for 2021 – and that’s NOT dependent on integrating the six companies – we talk through areas for potential growth, that aforementioned competitive landscape, and whether or not UpHealth is feeling the pressure to hurry their integration.
Today on Health in 2 Point 00, It’s a whacky SPACy world, as a new SPAC rolls “UpHealth” and has me singing Bob Marley, meanwhile there’s $91m for remote clinical trial software player Medable, $76m more for Spring Health joining the throng of mental health companies, while K-Health gets $42m to introduce chat bot front ends to Korean pop music…or something like that.—Matthew Holt