Medicity's iNexx platform, which connects to clinical, administrative and financial networks as well as electronic medical records and practice management systems, bolsters Aetna's health information exchange capabilities.
"The acquisition is very consistent with Aetna's strategy to build out a technology platform for accountable care," Dunbrack said. "Medicity's health information exchange technologies provide the ability to combine clinical and financial data and exchange it securely among care team members. This is another example of the HIE market consolidating," Dunbrack added.
Aetna has been developing technology under its ActiveHealth Management division, which provides clinical decision-support analytics and solutions that enhance the quality of patient care, provide overall cost savings and optimized performance-driven payment. The company employs nearly 3,000 IT professionals and has developed significant member technology innovations such as Aetna Navigator, Member Payment Estimator and DocFind. Moving forward, Medicity's acquisition should help Aetna to offer a set of convenient, easy-to-access technology solutions for physicians, hospitals and other health care providers.
"This acquisition gives Aetna a strong platform for continued growth in the developing HIE marketplace. It extends Aetna's capability to give providers a powerful platform for improving care collaboration, coordination and decision making and reducing unnecessary healthcare costs," Laberge said. "Strategically, we believe the acquisition will enhance Aetna's capabilities and accelerate our growth in the HIT and HIE spaces."
James Lassetter, Medicity's chairman and CEO, said Medicity will operate as a separate business in the Aetna family of companies and noted that Medicity's technology will benefit from the added resources that Aetna will provide. Additionally, Medicity's client base will gain access to the product portfolio ActiveHealth has developed.
"The combined solution provides you with a complete infrastructure for new models of care collaboration and reimbursement such as Accountable Care Organizations or Patient Centered Medical Homes. You can expect to see many more technologies come to market through Medicity over time and acceleration of our innovations and services," Lassetter said.
The transaction, which is expected to close in early January, 2011, is subject to customary closing conditions and regulatory approval. Aetna expects to finance the acquisition with available resources and the deal projected to be neutral to Aetna's financial results in 2011.