- Lloyd Price
Five Potential Buyers of Babylon's UK Business? Operose, Huma, Modality, BUPA, Aurelius/McKesson UK
Exec Summary:
Babylon's UK business needs to find a new home, so what exactly is on offer, what does Babylon UK offer a new buyer in terms of benefits to the NHS and patients to build on?
Babylon's services are available to NHS patients through a number of different channels, including:
The Babylon app: The Babylon app is available to download for free on iOS and Android devices.
The NHS App: The NHS App is available to download for free on iOS and Android devices. Babylon's services are integrated into the NHS App, so patients can access them from the same place where they access other NHS services.
The Babylon website: Babylon's website is available at https://www.babylonhealth.com/. Patients can access Babylon's services through the website, but they will need to create an account first.
Some of the benefits of Babylon UK's services for the NHS and patients:
Reduced waiting times: Babylon UK's services can help to reduce waiting times for NHS appointments. This is because patients can book video consultations and chat with doctors outside of regular office hours.
Improved access to care: Babylon UK's services can help to improve access to care for patients who live in rural areas or who have difficulty getting to a doctor's office. This is because patients can access Babylon's services through their smartphones or computers.
Better quality of care: Babylon UK's services can help to improve the quality of care patients receive. This is because Babylon's doctors have access to a wider range of data about patients, including their medical history, lifestyle habits, and genetic information.
Reduced costs: Babylon UK's services can help to reduce the costs of healthcare for the NHS. This is because Babylon's services can help to reduce the number of unnecessary hospital admissions and GP visits.
Overall, Babylon UK's services offer a number of benefits for the NHS and patients. The company's services can help to reduce waiting times, improve access to care, and improve the quality of care patients receive. Babylon UK's services can also help to reduce the costs of healthcare for the NHS.
So the million dollar question is, who could see a strategic fit to acquire Babylon's UK business? Five companies come to mind for a wide range of reasons:
1) Operose Health
2) Huma
3) Modality Partnership
4) BUPA
5) Aurelius/McKesson UK
Ultimately, the decision of who will acquire Babylon's UK business will depend on a number of factors, including the price that is offered, the strategic fit between the buyer and Babylon, and the regulatory approval process.
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Operose Health
Rationale for acquiring Babylon's UK business: increase primary care market share, familiar with the business as an investor via Centene their parent company, digital first GP offering is a competitive advantage, Babylon's 100k patients adds to existing 640k patient base
Operose Health is a UK-based primary care provider that was formed in 2020 by Centene Corporation, a US health insurer. Operose Health owns and operates a number of GP surgeries and other primary care facilities in England. It also offers a range of digital healthcare services, such as video consultations with doctors and access to medical records online.
Operose Health is one of the largest primary care providers in the UK, with over 640,000 patients. It is also one of the most innovative primary care providers in the UK, with a strong focus on using technology to improve the quality of care it provides.
Operose Health has been criticized by some for its reliance on private equity funding. However, the company has defended its business model, arguing that it allows it to invest in new technologies and services that would not be possible if it were funded by the government.
Operose Health is likely to play an increasingly important role in the UK healthcare system in the years to come. It is well-positioned to benefit from the growing demand for digital healthcare and its focus on innovation is likely to help it to stay ahead of the competition.
Here are some additional details about Operose Health:
Operose Health is headquartered in Little Chalfont, England.
Operose Health was formed in 2020 by Centene Corporation, a US health insurer.
Operose Health owns and operates a number of GP surgeries and other primary care facilities in England.
Operose Health also offers a range of digital healthcare services, such as video consultations with doctors and access to medical records online.
Operose Health is one of the largest primary care providers in the UK, with over 640,000 patients.
Operose Health is also one of the most innovative primary care providers in the UK, with a strong focus on using technology to improve the quality of care it provides.
Operose Health has been criticized by some for its reliance on private equity funding.
However, the company has defended its business model, arguing that it allows it to invest in new technologies and services that would not be possible if it were funded by the government.
Operose Health is likely to play an increasingly important role in the UK healthcare system in the years to come.
It is well-positioned to benefit from the growing demand for digital healthcare and its focus on innovation is likely to help it to stay ahead of the competition.
Huma
Rationale for acquiring Babylon's UK business: fits with primary care acquisition strategy having already bought iPlato, fits with AI technology acquisition strategy having already bought Biobeats and Tarilian Laser Technologies, acquihire of developers and ML engineers
Huma (previously known as Medopad) is a British healthcare technology company based in London, UK. It produces applications that integrate health data from existing hospital databases as well as patient wearables and other mobile devices and securely transmits it for use by doctors.
Huma was founded in 2011 by Dan Vahdat and Rich Khatib. The company's name was changed to Huma in 2020 to reflect its mission to "democratize healthcare" and make it more accessible to everyone.
Huma's platform allows doctors to remotely monitor patients with chronic diseases, such as diabetes and heart disease. It also provides patients with access to their medical records and allows them to book appointments with doctors online.
Huma has been praised for its innovative technology and its potential to improve the quality of care for patients. However, the company has also been criticized for its high costs and for its reliance on data from wearable devices, which some experts believe is not always accurate.
Huma is still a relatively young company, but it has the potential to revolutionize the healthcare industry. The company is well-funded and has a strong team of experts. If Huma can overcome the challenges it faces, it could become a major player in the global healthcare market.
Here are some of Huma's products and services:
Remote patient monitoring: Huma's remote patient monitoring platform allows doctors to remotely monitor patients with chronic diseases, such as diabetes and heart disease. This can help to improve the quality of care for patients and reduce the number of hospital visits.
Online medical records: Huma's online medical records platform allows patients to access their medical records from anywhere. This can help patients to better understand their health and to communicate with their doctors more effectively.
Appointment booking: Huma's appointment booking platform allows patients to book appointments with doctors online. This can save patients time and hassle.
Wearable devices: Huma partners with a number of wearable device manufacturers to collect data from patients' wearable devices. This data can be used to improve the accuracy of Huma's remote patient monitoring platform and to provide patients with personalized health insights.
Huma is a rapidly growing company with a bright future. The company is well-positioned to benefit from the growing demand for digital healthcare and its focus on innovation is likely to help it to stay ahead of the competition.
Modality Partnership
Rationale for acquiring Babylon's UK business: increase primary care market share, digital first GP offering is a competitive advantage, Babylon's 100k patients adds to existing 400k patient base, add ML and developer expertise to traditional primary care business
Modality Partnership is a large GP partnership formed in 2009. It is one of England’s largest super-practices, with over 400,000 patients. Modality Partnership operates primary health care and community health services across the country.
Modality Partnership was founded by a group of GPs who were dissatisfied with the current state of primary care in the UK. They believed that primary care needed to be more innovative and patient-centric. Modality Partnership was created to provide a new model of primary care that is focused on prevention and early intervention.
Modality Partnership has a number of innovative practices, including:
Virtual wards: Modality Partnership operates a number of virtual wards, which allow patients to be treated remotely by a team of doctors and nurses. This can help to reduce the number of hospital admissions and improve the quality of care for patients.
Community health hubs: Modality Partnership operates a number of community health hubs, which provide a range of health and social care services in one place. This can make it easier for patients to access the care they need.
Personalized health plans: Modality Partnership creates personalized health plans for each patient. These plans are based on the patient's individual needs and goals. This can help patients to take control of their health and improve their overall health outcomes.
Modality Partnership has been praised for its innovative practices and its focus on patient-centered care. The company has been recognized by a number of organizations, including the King's Fund and the NHS Confederation.
Modality Partnership is well-positioned to lead the way in the transformation of primary care in the UK. The company has a strong track record of innovation and a commitment to patient-centered care. If Modality Partnership can continue to grow and scale, it could have a major impact on the way that primary care is delivered in the UK.
BUPA
Rationale for acquiring Babylon's UK business: increase primary care market share, familiar with the business as a partner for the last 5 years, digital first GP offering is a competitive advantage, add ML and developer expertise to traditional insurance business
Bupa UK is the UK division of Bupa, a global health and care company with over 30 million customers worldwide. Bupa UK provides a range of health insurance, healthcare services, and products to individuals and businesses in the UK.
Bupa UK was founded in 1947 as the British United Provident Association. The company was formed by a group of local provident associations and hospital contributory schemes.
Bupa UK initially offered health insurance to its members, but it has since expanded its offerings to include a range of healthcare services, such as:
GP care: Bupa UK provides GP care to its members through a network of over 2,000 GP practices. Opens in a new window gpcare.org.uk GP care logo
Specialist care: Bupa UK provides specialist care to its members through a network of over 100 hospitals and clinics. Opens in a new window www.rbhh-specialistcare.co.uk Specialist care logo
Dental care: Bupa UK provides dental care to its members through a network of over 3,000 dentists. Opens in a new window www.freepik.com Dental care logo
Vision care: Bupa UK provides vision care to its members through a network of over 1,000 opticians. Opens in a new window www.vecteezy.com Vision care logo
Other health services: Bupa UK also provides a range of other health services, such as:
Travel insurance: Bupa UK provides travel insurance to its members to cover them for medical expenses while they are abroad.
Critical illness cover: Bupa UK provides critical illness cover to its members to pay out a lump sum if they are diagnosed with a critical illness.
Income protection: Bupa UK provides income protection to its members to pay out a monthly income if they are unable to work due to illness or injury.
Bupa UK is a leading provider of health insurance and healthcare services in the UK. The company has a strong track record of innovation and a commitment to providing high-quality care to its customers. Bupa UK is well-positioned to continue to grow and expand its offerings in the years to come.
Aurelius Group/McKesson UK
Rationale for acquiring Babylon's UK business: increase primary care market share, another 100k patients to drive prescriptions through Lloyd's Pharmacy, add ML and developer expertise to traditional wholesale pharmaceuticals and medical supplies business
Aurelius Group is a European investment firm that specializes in buying and restructuring underperforming companies. The company was founded in 2005 by Dirk Markus and Gert Purkert.
Aurelius Group has a team of over 100 investment professionals with experience in a range of industries, including healthcare, industrials, and technology. The company has offices in Germany, Luxembourg, the UK, and the US.
Aurelius Group has a track record of success in restructuring companies. The company has invested in over 100 companies and has generated over €10 billion in value for its investors.
Aurelius Group is a leading investor in the European healthcare sector. The company has a track record of success in restructuring companies and has a strong team of investment professionals. Aurelius Group is well-positioned to continue to invest in the healthcare sector and to help companies improve their performance.
Aurelius Group acquired McKesson UK in November 2021 in a deal worth £477 million. The acquisition was Aurelius Group's largest ever deal in the UK.
McKesson UK is a leading provider of wholesale pharmaceuticals and medical supplies to pharmacies, hospitals, and other healthcare providers in the UK. The company has a turnover of over £2 billion and employs over 2,000 people.
Aurelius Group said that it acquired McKesson UK to expand its presence in the healthcare sector. The company said that it plans to invest in McKesson UK to grow the business and to improve its efficiency.
The acquisition of McKesson UK is a major coup for Aurelius Group. The company has now established itself as a major player in the UK healthcare sector. Aurelius Group is likely to continue to invest in the healthcare sector in the years to come.
Here are some of the reasons why Aurelius Group acquired McKesson UK:
McKesson UK is a leading provider of wholesale pharmaceuticals and medical supplies to pharmacies, hospitals, and other healthcare providers in the UK. This gives Aurelius Group a strong foothold in the UK healthcare market.
McKesson UK has a turnover of over £2 billion and employs over 2,000 people. This gives Aurelius Group a significant scale in the UK healthcare market.
Aurelius Group plans to invest in McKesson UK to grow the business and to improve its efficiency. This will make McKesson UK a more attractive investment for Aurelius Group.
The acquisition of McKesson UK is a major coup for Aurelius Group. The company has now established itself as a major player in the UK healthcare sector. Aurelius Group is likely to continue to invest in the healthcare sector in the years to come.
Engage with the HealthTech Community
HealthTech M&A Newsletter from Nelson Advisors - Market Insights & Analysis for Founders & Investors. Subscribe today! https://lnkd.in/e5hTp_xb
HealthTech M&A Advisory by Founders for Founders, Owners & Investors. Buy Side, Sell Side, Growth and Strategy mandates - Email lloyd@nelsonadvisors.co.uk
HealthTech Thought Leadership from Nelson Advisors - Industry Insights & Analysis for Founders, Owners & Investors. Visit https://www.healthcare.digital
