Las Cruces-based Electronic Caregiver Inc. says it is partnering with an investment adviser to help raise funds to grow its telehealth market — an area of health care that has seen a tremendous increase in demand during the Covid-19 pandemic.
The company contracted with New York-based Pinnacle Investments LLC to "act as a placement agent to obtain expansion capital for their telehealth business," according to a news release. As part of the partnership, Pinnacle will offer Electronic Caregiver's Series E investment to accredited investors and qualified buyers within its network of wealth management clients, the release says. Pinnacle Investments CEO Ben Quilty confirmed that the firm is a placement agent.
Electronic Caregiver has already raised millions in investment. Its technology includes patient monitoring services, medical alerts and telehealth services, according to the release. Its products hit the market in 2017, reported the Las Cruces Sun News. Later this year, the company plans to roll out its new "Addison" health care platform in people's homes and in certain facilities such as rehabilitation and assisted living centers, according to President Joseph Baffoe.
The virtual platform will have facial and speech recognition capabilities, as well as medication reminder and compliance features, Baffoe said. It will act as the face of the company's existing Pro Health service, according to Baffoe. That service offers equipment to help patients monitor their health at home.
"In order for health care to truly be transformed, it's got to become predictive and preventable as opposed to just seeing people when they’re sick" he said. "We're extending the doctor’s purview all the way into the home”
Electronic Caregiver was founded in 2009 by CEO Anthony Dohrmann. He has worked with companies including Raton-based Zia Healthcare Services, which was using Electronic Caregiver's medical equipment to help doctors monitor an increasing number of patients at home. In addition to its New Mexico presence, the company also has a European subsidiary for marketing in German-speaking countries, the release says.
To date, Electronic Caregiver has disclosed $12.2 million in investment in Form D filings with the Securities and Exchange Commission, but the company says it has "raised $75 million in developing products, securing [intellectual property], and building a go-to-market customer base."
Last year, the company hired a chief digital health integration officer, Mark Francis, who formerly worked at Amazon and Intel. It has 150 employees, according to Baffoe.
"Connected care is the only possible way to handle population health, effective pandemic management and chronic conditions, and eldercare support. ECG's existing portfolio of products and services addresses these issues by providing affordable, accessible, and scalable solutions," Dohrmann said in a statement.
The announcement comes after Electronic Caregiver saw an increase in demand last year, with much of it coming from health-care organizations. Some employers have also expressed interest, Chief Clinical Officer Tim Washburn told Business First.
Washburn also said that the company increased its prices "a little bit” during the Covid-19 pandemic because the suppliers of its health monitoring tools increased their prices.
Electronic Caregiver is one of several digital health companies that says it experienced increased demand last year. Other firms, such as telehealth startup Doctor on Demand, saw a significant bump in activity, according to reporting from the San Francisco Business Times.
The rise of telehealth during the pandemic has had other effects, presenting a prime opportunity for some cybersecurity-focused businesses, Business First reported.
