Telstra Health is set to fully acquire pharmacy IT solutions provider Fred IT Group.
The company has held a 50 per cent stake in Fred IT since 2013 and revealed in a media release that it plans to purchase the remaining half of the shares from the Australian Pharmacists Union Victorian branch and Fred IT co-founder and CEO Paul Naismith.
Following completion of the transaction, Naismith will remain as CEO alongside the existing Fred IT team. The pharma IT provider will continue to develop solutions and deliver services as usual. Fred IT, through eRx, has been providing Australia's only nationwide e-prescription delivery service since last year.
Larger trends
Over the past few years, Telstra Health has secured acquisitions and partnerships to establish itself as a global digital health company.
In 2021 alone, the company has signed deals to acquire practice management software provider MedicalDirector and Adelaide-based health tech provider PowerHealth.
Earlier this year, Telstra Health sold its messaging and eReferrals business to HealthLink in order to focus on its connected health portfolio, while the company recently partnered with Canada's Smile Digital Health to bring its FHIR interoperability solution to Australia and New Zealand.
The company has also made key executive appointments in recent years to support its expansion. In 2022, it appointed then-NSW Health Minister Elizabeth Cough and former Cerner official Dr Monica Trujillo as managing director and chief health officer, respectively. Farukh Salimi, who was executive director of service delivery at eHealth NSW, became chief technology officer last year. General practitioner Dr Janice Tan was appointed clinical director for the company earlier this year.
Be on record
“This acquisition not only creates long-term growth opportunities for Telstra Health in Australia, but also creates an opportunity to leverage the combined capabilities, expertise and technologies of both companies as we identify further synergies in digitally connecting healthcare,” managing director Elizabeth Cough said in a statement.
“Pharmacies are a cornerstone of Australia's healthcare industry and a primary touchpoint for millions of Australians. With Fred IT becoming a wholly owned subsidiary of the Telstra Health Group, pharmacists will be empowered with an expanded scope of work and better positioned to integrate more seamlessly into the health and aged care digital health environment,” Fred IT CEO Paul Naismith also commented on the acquisition.
