Zinger Key Points
- Commure processes billions of dollars worth of healthcare payments and its suite helps power over 250,000 providers nationally.
- The transaction is expected to close in the late third or early fourth quarter of 2024.
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Augmedix Inc. AUGX will be acquired by Commure, Inc., in an all-cash transaction valued at approximately $139 million in equity.
Under the agreement, Augmedix stockholders will receive $2.35 per share in cash upon completion of the proposed transaction, and Augmedix will become a wholly-owned subsidiary of Commure.
Augmedix delivers AI medical documentation products to healthcare systems, physician practices, hospitals, and telemedicine practitioners.
Commure offers a suite of automated and AI-enabled hardware, software, and services for the healthcare sector.
The purchase price represents a premium of approximately 169% over the volume-weighted average price (VWAP) of Augmedix’s common stock for the 30 days ending July 18, 2024.
“This proposed transaction with Commure provides certainty and a premium value for our stockholders, representing a transformative next step in Augmedix’s mission to unburden clinicians of administrative tasks while dramatically improving health system efficiency,” said Manny Krakaris, Chief Executive Officer at Augmedix.
“As part of Commure, we believe Augmedix will be well-positioned to scale ambient documentation solutions to even more clinicians and health systems while simultaneously accelerating efforts to infuse more innovative features, integrations, and AI capabilities into our product suite.”
Tanay Tandon, CEO of Commure, said the companies are on track to power over 3 million physician appointments using artificial intelligence, ambient scribing, and revenue cycle automation this year.
“Commure Scribe and Augmedix Go, on average, save a physician 2 hours of documentation time a day, reducing documentation time by more than 80%, and help generate billions of dollars in productivity savings for providers across the country,” Tandon adds.
Commure processes billions of dollars worth of healthcare payments. The company adds that its suite helps power over 250,000 providers nationally.
The transaction is expected to close in the late third or early fourth quarter of 2024.
Price Action: At last check on Friday, AUGX stock was up 147.70% at $2.27.
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