MedAdvisor Raises AU$9.5M in EBOS Deal

KEY TAKEAWAYS:

• MedAdvisor has raised AU$9.5 million after it sold 165 million shares to New Zealand’s EBOS Group at a price of 5.75 cents per share.
• The EBOS Group, which is engaged in the wholesale and distribution of healthcare products, also purchased 20 million more shares of MedAdvisor, gaining a 14.1% ownership of the company.
• MedAdvisor’s medication management system will allow patients to efficiently manage their prescriptions and would save them and the government time and money

Medication management company MedAdvisor got a new fund infusion after a deal with EBOS Group yielded AU$9.5 million. EBOS acquired 165 million ordinary shares of the medication management software company at 5.75 cents per share. It also purchased an additional 20 million more shares of MedAdvisor in an off-market transaction.

MedAdvisor already has 950,000 users but the deal will allow the company to take advantage of the hospital and GP channels of EBOS to accelerate its effort to acquire more customers and explore other market opportunities in the United Kingdom, United States and the Asia-Pacific region.

The company’s medication management solution, which is cloud-based and could be accessed anywhere, allows patients to efficiently manage their prescriptions by tracking them over time. As agreed between the two companies, MedAdvisor will develop and roll out its medication management application customised to the needs of EBOS-owned TerryWhite Chemmart pharmacies all over the country.

“In the over-65 age group, something like 25 to 30 percent of hospital readmissions are related to medication misadventure, and it often happens within 28 days after discharge. This is because typically, you’ve got a new medication regime, you’ve been in hospital which is a fairly stressful situation, and you’ve had a quick briefing on your new medication regime that’s potentially gone in one ear and out the other,” MedAdvisor CEO Rob Read said.

Read said it would be easier for patients to get more information about their medication through a system that can be saved and accessed through a phone or tablet. This system, which would require the use of electronic prescriptions, would reduce administrative appointments and thus save time and money.

Reid said the government should look into the practicality of electronic prescriptions. He said a physical paper script is required in Australia unlike in other markets where they practice electronic prescribing which is available through the App whenever it is needed.

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