A laboratory services provider on the frontlines of COVID testing locally has been acquired.
Memphis-based Poplar Healthcare LLC is joining forces with Boston’s PathAI, which is a provider of artificial intelligence-powered technology for pathology.
PathAI announced the deal on July 26 for Poplar Healthcare, which focuses on anatomic pathology lab services. Terms of the deal were not disclosed.
"Poplar is a top-tier lab with a dedicated team known for their accuracy of diagnosis and turnaround time," Dr. Andy Beck PathAI's cofounder and CEO, said in a release. "PathAI's investments in digital pathology and artificial intelligence will further enhance Poplar's value proposition to providers across the United States."
Poplar Healthcare’s 350 employees and facilities will become PathAI’s diagnostics division and will remain based in Memphis. The deal will add traditional laboratory services “at scale” to PathAI’s suite of AI-powered pathology tools.
The deal will help Poplar digitize its lab workflow and use PathAI's image analysis plus algorithm development capabilities.
“We looked for a partner interested in transforming pathology, leveraging technology and AI to enhance pathologists' work and better equip them to serve patients and clinicians,” Poplar CEO Jim Sweeney said in the release.
Poplar offers specialized testing for physicians via its GI Pathology, D-PATH Dermatology, OncoMetrix, Bostwick Laboratories, and Women's Health Laboratories services.
In May 2021, PathAI closed Series C financing totaling $165 million, which was co-led by D1 Capital Partners and Kaiser Permanente.
In the early stages of the pandemic, Poplar Healthcare worked with the Shelby County Health Department and other local officials to ramp up to perform thousands of COVID-19 tests per day.
