In brief: BioScrip, Option Care report earnings, NSM makes acquisition

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Friday, August 2, 2019

DENVER – BioScrip and Option Care both report increased revenues for the second quarter of 2019.

BioScrip reported net revenues of $191.5 million for the second quarter 2019, an 8.9% increase compared to $175.8 million during the same period last year. Gross revenue was $196.8 million, an increase of 13.1%. Adjusted EBITDA was $15.5 million, up 35.4%.

On Friday, BioScrip announced that stockholders approved its planned merger with Option Care, expected to close on or about Aug. 6. The merger was announced in March.

“This is the fifth consecutive quarter of sequential, comparable gross revenue growth for BioScrip, and the operating leverage inherent in our business model is evident in our EBITDA performance,” said Daniel Greenleaf, BioScrip president and CEO. “I am also very pleased that year-to-date gross revenue increased by double-digits at 10.4%.

OptionCare reported net revenues of $512.6 million for the second quarter 2019, an increase of 3.2% compared to the same quarter last year. Adjusted EBITDA was $23.7 million, up 10.2%.

Option Care is owned by investment funds affiliated with Madison Dearborn Partners and Walgreens Boots Alliance.

“Our pending combination with Option Care will provide an incredible platform to accelerate growth for BioScrip, as the newly combined company will have a significantly improved capital structure and a leading market position in the attractive home infusion therapy market,” said Greenleaf.

John Rademacher will be CEO of the combined company, which will cover 96% of the U.S. population. Greenleaf will serve as special adviser to the company’s board chairman, Henry Kraemer.

CMS addresses reimbursement for new technology

WASHINGTON – CMS is proposing a rule to establish methodologies to modernize pricing of new DMEPOS items and services, the agency announced July 29.

“The proposed rule would provide greater transparency for innovators regarding how CMS determines if new items and services are comparable to older items and services for Medicare pricing,” CMS states. “The proposed rule also promotes competition and innovation in DMEPOS by setting Medicare payment for new items based on commercial pricing data.”

CMS says greater transparency as to how it establishes fee schedule amounts for new technology, a gap-filling methodology that recognizes the cost differences between new and older items, and potentially using additional sources of market-based pricing to establish such gap-filled fee schedule amounts should foster improvements and innovations in DMEPOS technology and ensure more competitive prices.

CMS is also proposing:

·      Streamlining requirements related to face-to-face encounters, written orders prior to delivery and/or prior authorizations to reduce provider confusion.

·      Revising the existing DMEPOS competitive bidding program regulations to recognize that changes of ownership may occur on shorter timeframes, and revising the submission of a hearing request in notices of breach of contract.

CMS is soliciting comments on these proposals until Sept. 27.

Lifeway Mobility acquires Home Mobility Solutions

CHICAGO – Lifeway Mobility has acquired the assets of Home Mobility Solutions through its subsidiary, Extended Home Living Services. The Downers Grove, Ill.-based HMS, founded by Mike Cleary, offers stair lifts, wheelchair lifts, ramps and bathroom modifications. “Joining forces with Lifeway enables us to continue to offer our customers and referral sources the caring, responsive service they've enjoyed with HMS together with a broader selection of products, an attractive showroom and streamlined systems,” says Cleary. The HMS team will combine with the EHLS/Lifeway Mobility-Chicagoland to create a regional accessibility provider. Cleary will join the company’s executive leadership team with Elizabeth and Stephen Crandall. Lifeway Mobility, launched in 2015, provides accessibility and safety products and services in Connecticut, Illinois, Indiana, Massachusetts, Minnesota, Rhode Island, southern New Hampshire and Wisconsin.

MobilityWorks makes buy

CLEVELAND – MobilityWorks, a provider of wheelchair accessible vans, has acquired Mobility Supercenter. The deal expands MobilityWork’s adds four locations: in Richmond and Norfolk, Va., and Charleston and Myrtle Beach, S.C. “We look forward to having Mobility Supercenter become a part of our family,” said Eric Mansfield, president of MobilityWorks. “Adding Mobility Supercenter to our organization illustrates our commitment to Accessibility for All. We expect a smooth transition and are excited to continue to serve the community.” MobilityWorks now has 84 locations in 24 states. In 2018, MobilityWorks received a significant investment from Flexpoint Ford, a Chicago-based private equity firm.

NSM boosts home access biz in Midwest

NASHVILLE, Tenn. – National Seating & Mobility has acquired Scooter Warehouse/At Home Accessibility in South Bend, Ind. “The addition of this team strengthens our expertise in the home modification market and expands our service reach across the Midwest,” said Bill Mixon, CEO of NSM. Grant Moore, who owned Scooter Warehouse/At Home Accessibility with Patty Moore, will transition to the NSM team as general manager for the South Bend branch. Molly Berry, an ATP and doctor of physical therapy, will also join the branch. At Home Accessibility, a division of Scooter Warehouse, creates ADA-compliant, accessible renovations and room additions, as well as provides ramps, stair-lifts and other options to increase mobility. It has two on-staff licensed contractors. NSM launched its home access business, AccessNSM, in 2015.

Court approves Joerns’ Chapter 11 plan

CHARLOTTE, N.C. – Joerns Healthcare says the U.S. Bankruptcy Court for the District of Delaware has confirmed the Chapter 11 plan for the company and its domestic subsidiaries. Joerns expects to complete its restructuring and successfully emerge from bankruptcy over the coming weeks. The restructuring plan reduces the company’s debt by more than $320 million, while providing up to $40 million of new financing to support its ongoing operations and continued investments. The plan also provides for all of the company’s unsecured creditors to be paid in full on their allowed claims, ensuring minimal operational or business disruption. After restructuring, the company will move forward under new ownership made up of its pre-petition secured lenders, who have designated as initial board members Patrick Hayes (Golub Capital), Patrick Bartels (Redan Advisors) and Brent Buckley (Benefit Street Partners). CEO David Johnson recently announced his resignation. John Regan, senior vice president and CFO, is fulfilling CEO responsibilities while the company searches for a new top exec.

180 Medical inks agreement with insurer

OKLAHOMA CITY, Okla. – 180 Medical has partnered with insurer CareMore to provide high-quality disposable medical supplies to its members in Arizona and California. “180 Medical strives to partner with insurance carriers like CareMore that place an emphasis on providing the kind of care you would give your own family,” said Gene Katzenberger, 180 Medical’s director of contracting and compliance. “Partnering with organizations that share our commitment to improving patients’ lives and establishing excellent customer support furthers 180 Medical’s mission.” 180 Medical, a subsidiary of ConvaTec, provides intermittent catheters, incontinence supplies and ostomy products. CareMore, a subsidiary of Anthem, is an integrated health plan and care delivery system for Medicare and Medicaid patients.

Not enough breastfeeding moms know their rights, Byram survey finds

WHITE PLAINS, N.Y. – Fewer than one in five working moms who breastfeed know their rights in the workplace, according to a survey commissioned by Byram Healthcare. Wakefield Research, which conducted the survey, polled 1,000 working moms in the U.S. with children ages two and under who are breastfeeding or recently breastfed. More than half of working moms (52%) said they didn’t know they are legally entitled to a room to pump or express milk for a full year after giving birth. They said they were also not aware that the room must have shades or no windows (54%) and have a lock (42%). Other results from the survey: 95% of working moms who breastfeed have used breast pumps, 63% of them said breast pumps allowed them to return to the workforce and 36% said breast pumps gave them a chance to continue advancing in their careers. Byram has also published a toolkit, “A Working Mom’s Guide to Breastfeeding,” as a resource for new moms headed back to work. It was created with Shari Criso, an RN, certified nurse midwife, International Board Certified Lactation Consultant and educator.

Citizens Memorial HME updates website

BOLIVAR, Mo. – Citizens Memorial Home Medical Equipment has launched a new website, hme.citizensmemorial.com, that features product information, patient videos and more. “Patients will be able to view the product catalog, which includes prices for the majority of products available,” said Beverly Derrickson, director of CMH Home Medical Equipment and administrative director of CMH Foundation. “Our next update will include the ability for patients to purchase and ship products from this online catalog in the near future.” The videos include how to clean and care for CPAP equipment. “Patients may have additional questions or just need a refresher on how to care for their equipment,” Derrickson said. “The videos are very helpful and easy to view.” CMH is owned and operated by CMH Foundation. It has six locations in Ash Grove, Bolivar, Buffalo, Hermitage, Stockton and Warsaw.

Wheels UP! for photo contest

PHOENIX – SPORTS ‘N SPOKES Magazine, the Abilities Expo and Cure Medical have joined forces online to host the Wheels UP! accessible travel photo contest from Aug. 5-16. The contest, formerly known as Get Out Enjoy Life, kicks off with a photo contest and prize giveaways. Participants in the U.S. and Canada may submit photos of related sports activities, family vacations and weekend outings to be considered for one of four prizes. SPORTS ‘N SPOKES, the Abilities Expo and Cure Medical will share photos daily on their social media pages. A team of judges that includes WCMX and adaptive surfer Christiaan “Otter” Bailey will choose the winning photos. For full details, rules and the contest entry form, go here.

Aeroflow launches Pumping Room Makeover contest

ASHEVILLE, N.C. – Aeroflow Breastpumps has launched its second Pumping Room Makeover, sponsored by Medela. The contest will provide one grand prize winner with a pumping room makeover in their workplace, bringing awareness to the importance of safe, comfortable lactation rooms for working moms. Participants should submit an entry form, along with photos of the existing or potential lactation space they are nominating by Aug. 31. “We want to be an advocate for all breastfeeding mothers who return to work and pump three or more times a day in a cramped closet or bathroom stall,” said Jennifer Jordan, director of mom & baby at Aeroflow Healthcare. “Their photos and stories are what inspired this contest and research shows that when they feel supported, businesses see decreased turnover and increased productivity. Providing a lactation room is one of the most impactful ways an employer can show that support to new moms.” The top five finalists will be announced Sept. 16, followed by a public vote to decide the grand prize winner. All finalists will receive a gift basket with breastfeeding supplies and accessories.

Responsive Respiratory releases video

ST. LOUIS – Responsive Respiratory has created an instructional video for its new Purify O3 PAP Sanitizer. The video illustrates three simple steps a patient can take to sanitize their device using either the included dual-purpose sanitizing/travel case or a portable closed lid container that can be used with larger masks or items like nebulizers and breast pumps. “This new video allows customers to see for themselves how simple Purify O3 is to use,” said Tom Bannon, president. The video is available at www.purifyo3.com or on YouTube at http://bit.ly/Purifydemo. RRI entered the CPAP market with the Purify earlier this year.

Medtrade shifts to Early Rates

ATLANTA – Early Rates are now in effect for Medtrade, Oct. 21-23 at the Georgia World Congress Center. These special rates end Sept. 1. “Early Rates mean the incredible deal is still on—making Medtrade significantly less than other in-person and online events,” said Sarah Varner, senior director of marketing for Medtrade. “Early Rates make the Educational Conference pass an incredible value—less money, even hundreds less—for the best education and networking.” Under the Early Rates, an Expo Pass is $50 and an Educational Conference Pass is $199. These rates also offer savings on the following registration add-ons: Audit Happy Hour, Power Lunch and Rise & Retail Breakfast Roundtables.