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Tuesday, Aug 11 2015

Full Issue

New Businesses Seek To Meet Consumers' Demands For Non-Emergency Housecalls

A variety of firms have started up that provide medical care where and when consumers want it. Also, news outlets examine a civil case against a now-bankrupt laboratory and how the health care sector has performed for hedge funds this year.

Heal is one of several startups putting a high-tech spin on old-fashioned house calls鈥攐r 鈥渋n-person visits,鈥 since they can take place anywhere. The services provide a range of nonemergency medical care鈥攆rom giving flu shots to treating strep throats and stitching lacerations鈥攎uch like a mobile urgent-care clinic. The companies use slightly different models. Pager, in New York City, dispatches doctors or nurse practitioners via Uber, for $200. Heal, in Los Angeles, San Francisco and Orange County, Calif., promises to 鈥済et a doctor to your sofa in under an hour鈥 for $99. (Beck, 8/11)

A civil complaint filed in federal court in South Carolina lays out just how much money the Justice Department estimates a now-bankrupt cardiac biomarker laboratory generated for its founder, her former associates and the doctors who ordered its blood tests. Tonya Mallory, the founder of Health Diagnostic Laboratory Inc., received at least $26 million in salary, bonuses and tax distributions from the company, while BlueWave HealthCare Consultants Inc., the sales-and-marketing contractor headed by two of Ms. Mallory鈥檚 former associates, collected $223 million in commissions over a roughly five-year period, the complaint says. (Carreyrou, 8/10)

The health-care sector has been the bright spot in what鈥檚 otherwise been a meager 2015 for hedge funds betting on mergers and acquisitions, bankruptcies and other corporate events. ... Philippe Ferreira, senior cross-asset strategist at Lyxor Asset Management said health care, where event-driven hedge funds have a 鈥渟izable鈥 exposure, contributed about 60% of event-driven hedge funds鈥 gains this year so far, making it the strongest contributor by a large margin. Mr. Ferreira expected the strong performance of the health-care sector to continue in the coming months, buoyed by record levels of M&A. Global health-care M&A stands at an all-time high of $422.8 billion for the year-to-date, up 42%, and almost exceeds the full-year record of $429.3 billion set in 2014, according to Dealogic. (Eschenbacher, 8/10)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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