In brief: O2 Concepts lands capital, growth in healthcare spending slows
OKLAHOMA CITY, Okla. – O2 Concepts and BOK Financial Capital, a financial services holding company, have closed on a strategic investment.
Proceeds from the investment, the first outside capital that O2 Concepts has raised since launching in 2010, will support international expansion, manufacturing facility enhancements and new product development.
“Our partnership with BOK Financial Capital Corporation allows us to accelerate our already impressive rate of growth,” said Rob Kent, president and CEO of O2 Concepts, in a release. “Over the past year, we have added to our sales and leadership team to significantly expand our market footprint.”
O2 Concepts recently received CE certification for its Oxlife Independence, paving the way for expansion into international markets.
The investment from BOK will also help position the company for future acquisitions.
“This will ensure we are positioned to capitalize on compelling opportunities that come our way,” Kent said.
BOK calls O2 Concepts “a great long-term investment.”
“We believe the demographics will remain extremely favorable for medical device manufacturers, in both domestic and global markets,” said Mark Hall, senior vice president of BOK, in the release. “Additionally, the regulatory pressures along with changing technology will create a divergence among market participants.”
Growth in healthcare spending slows
BALTIMORE – Total healthcare spending is expected to grow, on average, 5.8% over 2014-2024, according to a new report from the CMS Office of the Actuary. That rate is lower than the, on average, 9% growth in healthcare spending in the three decades before 2008. “The task ahead for all of us is to keep people healthier while spending smarter across all categories of care delivery so that we can sustain these results,” said CMS Acting Administrator Andy Slavitt. Healthcare spending in 2014 is projected to have hit $3.1 trillion, or $9,695 per person, and to have increased 5.5% from the previous year. Driving growth: millions gained health insurance coverage and new expensive specialty drugs hit the market.
Inogen to join S&P SmallCap 600
NEW YORK, N.Y. – Inogen will be added to the S&P SmallCap 600 stock market index after trading closes on Aug. 3. A company’s market capitalization must range from $400 million to $1.8 billion to be included in the S&P SmallCap 600 Index. Inogen will be replacing Micrel, an IC solutions manufacturer.
Executive changes at VGM
WATERLOO, Iowa – The VGM Group has named Jeremy Kauten CIO and senior vice president of information technology. Previously, Kauten was president of VGM Forbin. He has been with the company since 1999, when VGM acquired Forbin. Rob Duryea is now president of VGM Forbin.
Community pharmacies join forces
WITCHITA, Kan. – Hart Pharmacy and Durable Medical Equipment is partnering with Family Prescription Shop to expand its business. The companies will remain as separate entities but operate under the Hart name. “We’ve kind of combined forces, I guess you could say,” Jason Schmitz, director of pharmacy operations told a local newspaper. The 75-year-old Hart offers a full line of DME in addition to prescriptions and compounding. Family Prescription Shop has two pharmacies and focuses on prescriptions.
Prism Medical reports second quarter results
TORONTO – Prism Medical on July 28 reported sales of $14.1 million for the three months ended May 31, 2015, compared to $10.3 million for the same period last year. Net income was $430,000 vs. $21.3 million. The Canadian DME manufacturer and provider reported net sales of $26.3 million for the six months ended May 31, 2015, compared to $20.3 million for the same period last year. Net income was $832,000 vs. $22.1 million. The company intends to increase shareholder value through organic growth and strategic acquisitions in the North American market, according to President and CEO Andy McIntyre.
Pharmacy, Therafirm sponsor Kenyan runner
AUBURN, Maine, and HAMLET, N.C. – Bedard Pharmacy and Medical Supplies and Therafirm are sponsoring Moninda Marube on his quest to run 3,700 miles across county to raise awareness of human trafficking. His four-month journey started in Auburn, Maine, and includes an approximately 30-mile run six days a week. Along the way, Marube will speak at Police Athletic/Activities League centers to spread the word on his Moninda Movement. Once he reaches Santa Barbara, Calif., he will compete in the Santa Barbara International Marathon. The co-sponsorship includes a cargo van that his crew will use, Therafirm-brand compression socks and sleeves, and athletic apparel. In addition, Bedard and Therafirm will donate a significant portion of proceeds from the retail sales of CoreSport, CoreSpun and Therafirm’s new sports compression line, launching Sept. 1, 2015, to the Moninda Movement. Sales through Bedard’s store and website, bedarddirect.com, between July 27, 2015, and March 31, 2016, will also benefit the movement.
Tech challenge winners announced
NEW YORK – The Kinesic Mouse, a software solution that allows users to operate their PCs hands-free using a 3D camera to detect facial expressions and head rotations, was awarded the $25,000 grand prize in the Connect Ability Challenge, sponsored by RESNA, AT&T, and New York University’s ABILITY lab. The People’s Choice award went to the Laugh Out Loud Aid, whichsends social and living skills reminders, such as saying "please" and "thank you,” to users. More than 60 software, wearable and other technology solutions were submitted during the three-month challenge, which was designed to spur innovation for people with physical, social, emotional and cognitive disabilities.
Short takes: Allina Health, Cardinal Health and more
Staff at Allina Health Home Oxygen and Medical Equipment has earned the Aids to Daily Living Specialist credential through Accessible Home Improvement of America. The certification is designed to assist professionals dealing in the retail environment of ADLs. Staff will be required to renew this certification every two years…Cardinal Health has named the winners of its annual Independent Pharmacy Best Practices award: Medicine Shoppe Pharmacy in Whiting, N.J., (Wellness Advantage category); Katterman’s Pharmacy in Seattle (Retail Advantage category); and El Dorado TrueCare Pharmacy in El Dorado, Kan., (Business Advantage category). The pharmacies were selected for implementing exceptional programs that demonstrate how independent pharmacies can improve patient outcomes, drive business results in their community and be better “positioned to win”…Franciscan Companies has donated nearly $3,000 worth of medical equipment to Operation Walk Syracuse, a nonprofit that helps arthritic patients in developing countries receive total-joint replacements at no cost. Franciscan Companies is an affiliate of St. Joseph’s Health and provides HME, respiratory therapy and sleep disorder treatments in New York and Pennsylvania…inSleep Health has received 510(K) clearance from the FDA for its Cloud9 Anti-Snoring System. Designed for home use, the prescription device uses continuous low positive airway pressure to treat simple snoring.