naviHealth acquires RightCare Solutions

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naviHealth, an awardee convener under Medicare's Bundled Payments for Care Improvement Initiative, has acquired RightCare Solutions Inc., which has developed a hospital discharge planning software system.

RightCare's software was developed in conjunction with the University of Pennsylvania School of Nursing. It licenses its proprietary software to hospitals and health systems to assess patients for post-acute care needs. This includes determining the risk of readmission and coordinating patient discharges.

Terms of the deal were not disclosed.

The ability to have RightCare software embedded should help hospitals and systems make post-acute decisions, said naviHealth CEO Clay Richards. While naviHealth had long been aware of the RightCare platform, conversations began over the past 12 to 18 months on how the two companies had
complementary approaches, he told McKnight's.  

“The value proposition is that it's taking the best in class analytics to help providers understand the readmission risk,” he said. “The catalyst is ACOs and readmission penalties.”

naviHealth now serves nearly 2 million health plan members and more than 75 hospitals.

Cardinal Health acquired a majority stake in the company in fall 2015.

“In becoming part of naviHealth, RightCare's ability to benefit patients by reducing readmissions and improving discharge management through a unique software-as-a-service model is furthered dramatically in a way that will bring enhanced value to the community of hospitals we serve,” said Eric Heil, RightCare co-founder and CEO.

Headquartered in the Philadelphia suburb of Horsham, RightCare was founded in 2012. It was developed by Kathryn H. Bowles, Ph.D., RN, FAAN, a University of Pennsylvania School of Nursing professor. 

The program launched in 2011 and received $5 million in funding from the National Institutes of Health.