Advantus Health Partners and GE HealthCare Announce Multi-Year Agreement to Expand Access to Healthcare Technology Management Services

Rhea-AI Summary

GE HealthCare (Nasdaq: GEHC) has entered a strategic agreement with Advantus Health Partners worth up to $760M over 10 years. This collaboration aims to provide comprehensive Healthcare Technology Management (HTM) services to Advantus' clients, enhancing medical equipment maintenance beyond the traditional break-fix model. The initiative focuses on improving quality care while reducing costs through advanced asset management and proactive monitoring. The HTM program will include services like equipment recalls management and real-time location tracking, ultimately aiming for more efficient healthcare outcomes.

Positive

• Agreement worth up to $760M over 10 years strengthens GEHC's position in medical equipment maintenance.
• Comprehensive HTM services expected to enhance quality care and reduce operational costs for clients.
• Access to advanced asset management and real-time location tracking will improve efficiency in healthcare facilities.

Negative

• None.

• The two companies will offer healthcare organizations a holistic program that goes beyond the traditional break-fix approach to medical device maintenance
• Advantus Health Partners will leverage the expanded relationship to support quality care and sustainable cost reductions for its clients

CINCINNATI & CHICAGO--(BUSINESS WIRE)-- Advantus Health Partners, a health care solutions company delivering more effective, efficient supply chain models to health care organizations, and GE HealthCare (Nasdaq: GEHC), one of the largest providers of medical equipment maintenance services in the world, announced an agreement of up to $760M over 10-years to provide GE HealthCare’s Healthcare Technology Management (HTM) services to Advantus Health Partners’ clients.

“Advantus was founded following our team’s success designing a better supply chain model for a large health system with 48 hospitals. We understand the growing challenges that health care providers—large and small—face in today’s environment,” said Dan Hurry, president of Advantus Health Partners. “We are constantly working to bring next-generation supply chain management models to our customers, and this relationship with GE HealthCare underscores our commitment to delivering benefits to health systems, suppliers and the overall health care supply chain.”

The comprehensive HTM program can provide complete management of medical equipment in a health care facility – including ongoing maintenance, monitoring for and addressing recalls, disinfection and distribution, and more for Advantus Health Partners’ clients.

The program also can help reduce costs and improve productivity for their clients through standardization of processes to manage equipment across healthcare systems and proactive monitoring of data safety. Further, their clients will have access to Encompass, GE HealthCare’s real-time location system technology that tracks and locates a provider’s equipment so caregivers can spend less time searching for equipment and more time with patients. Other services include advanced asset management and an advanced scopes program with proactive service strategy for endoscopes.

“We are excited to build a healthier future by managing the comprehensive service needs of healthcare providers and helping ensure they have the latest technology available to provide quality care to their patients,” said Mohamed El-Demerdash, GE HealthCare U.S. and Canada Services President. “Together with Advantus Health Partners, we will support health care organizations as they continue to evolve and adapt to meet their ever-changing needs and those of the communities they serve.”

Through this expanded relationship between Advantus Health Partners and GE HealthCare, healthcare providers will have access to a scalable, end-to-end solution for managing medical equipment performance and risk.

About Advantus Health Partners

Advantus Health Partners is a health care solutions company that makes supply chain easier for its clients through streamlined supply chain management, organizational purchasing, operations and cost-savings efficiencies. With innovation at the forefront, and an advanced operational model, Advantus Health Partners provides a portfolio of solutions to further drive value beyond contracting, all with the singular goal of reducing health care costs across the U.S. Advantus Health Partners is committed to helping organizations meet business goals through its distinct solutions.

About GE HealthCare Technologies Inc.

GE HealthCare is a leading global medical technology, pharmaceutical diagnostics, and digital solutions innovator, dedicated to providing integrated solutions, services, and data analytics to make hospitals more efficient, clinicians more effective, therapies more precise, and patients healthier and happier. Serving patients and providers for more than 100 years, GE HealthCare is advancing personalized, connected, and compassionate care, while simplifying the patient’s journey across the care pathway. Together our Imaging, Ultrasound, Patient Care Solutions, and Pharmaceutical Diagnostics businesses help improve patient care from diagnosis, to therapy, to monitoring. We are a $18.3 billion business with 50,000 employees working to create a world where healthcare has no limits.

Follow us on Facebook, LinkedIn, Twitter, and Insights for the latest news, or visit our website https://www.gehealthcare.com/ for more information.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230302005080/en/

Advantus Health Partners Media Contact

Mackenzie Kreitler

Innsena for Advantus Health Partners

advantus@innsena.com

GE HealthCare Media Contact

Laura Fait

+1 414 429 2675

Laura.fait@ge.com

Source: GE HealthCare

FAQ

What is the value of the agreement between GE HealthCare and Advantus Health Partners?

The agreement is worth up to $760M over 10 years.

What services will GE HealthCare provide under the new agreement?

GE HealthCare will provide comprehensive Healthcare Technology Management (HTM) services, including maintenance, monitoring, and asset management.

How will the agreement impact cost reduction for healthcare organizations?

The agreement aims to reduce costs through standardization of processes and proactive monitoring.

When was the agreement between GE HealthCare and Advantus Health Partners announced?

The agreement was announced on March 2, 2023.

What is the stock symbol for GE HealthCare?

The stock symbol for GE HealthCare is GEHC.