In brief: Law firm sues Inogen, NSM expands footprint

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Friday, March 8, 2019

SAN DIEGO – Robbins Geller Rudman & Dowd has filed a class action lawsuit against Inogen on behalf of purchasers of the company’s stock between Nov. 8, 2017, and Feb. 26, 2019.

The lawsuit charges Inogen and certain of its officers with making false and misleading statements and/or failing to disclose adverse information regarding the company’s business metrics and financial prospects during the period, in violation of the Securities Exchange Act of 1934.

Specifically, the lawsuit charges that:

·      Inogen failed to disclose it had overstated the true size of the total addressable market for its POCs and misstated the basis for its calculation of the market;

·      It falsely attributed its sale growth to the strong sales acumen of its salesforce, when in reality it was due, in large part, to sales tactics designed to deceive its elderly customer base; and

·      It inflated the growth in domestic business-to-business sales to HME providers, eroding direct-to-consumer sales.

As a result, the lawsuit charges that the price of Inogen common stock was artificially inflated to more than $282 per share during the period, only to fall to $106.28 per share on Feb. 27.

The plaintiff seeks to recover damages on behalf of all purchasers of Inogen common stock during the period.

The lawsuit, Fabbri v. Inogen, Inc., et al., No. 19-cv-1643, was filed in the Central District of California.

ResMed goes big in South Korea

SEOUL – ResMed has acquired HB Healthcare, a privately owned provider of sleep and respiratory devices in South Korea. The deal allows ResMed, which has sold respiratory devices in the country for more than a decade, to expand its reach. “ResMed has reaffirmed its leading role in Korea’s CPAP and respiratory care market, and commitment to improving millions of Koreans’ breathing and quality of life,” said Kim Ho Kyun, ResMed Korea’s sales and marketing director. “With HBH and our valued distribution partners in Korea, ResMed can maximize the number of people who can enjoy the benefits of life-changing cloud-connected sleep and respiratory therapy.” In July 2018, the Korean government approved reimbursement for sleep apnea diagnosis and CPAP devices.

NSM grows presence in Bay Area

NASHVILLE, Tenn. – National Seating & Mobility is expanding its footprint in California with the acquisition of Western Rehab Solutions in Martinez.

NSM will now operate 16 locations in the state.

“We are excited to expand our northern California footprint with this new branch, and look forward to partnering with this experienced and well respected team to bring innovative mobility and accessibility solutions to Bay Area clients,” said Bill Mixon, NSM CEO.

NSM already operates branches in the Bay Area in Fairfield, Hayward, San Jose and Santa Rosa.

The owners of Western Rehab Solutions, Al and Meg McNiece, will serve in leadership positions for NSM at the branch. ATP Buffy Rau and the complex rehab team will also transition to NSM.

Western Rehab Solutions has been providing mobility and seating solutions for the Bay Area and surrounding counties for more than 30 years.

Philips: Quality sleep remains elusive

MURRYSVILLE, Pa. – Forty-four percent of adults worldwide and 42% of American adults say their sleep has worsened in the past five years, according to the findings from Philips Respironics’ annual report, “The Global Pursuit of Better Sleep Health.” In a survey of more than 11,000 adults in 12 countries, 8 in 10 adults want to improve their quality of sleep but 60% have not sought professional medical help. Eighty-three percent of American adults believe sleep has an impact on their overall health and well-being and 48% who have sleep apnea say therapy has improved their sleep.

Brightree launches infusion platform

ATLANTA – Brightree has launched an enhanced pharmacy suite for home infusion providers and HME pharmacies to help automate every step of the workflow. Starting with its ePrescribe capabilities, it creates a seamless connection with leading HER/EMR and third party vendors. Staff can use the platform to obtain insurance authorization, conduct clinical monitoring, fill pharmacy orders, deliver medication, supplies and equipment to the patient and conduct billing and collections. “We believe there is a tremendous demand in the market for a robust infusion solution that comes with EMR interoperability, a patient engagement app, and new functionality designed specifically to meet the unique needs of home care pharmacies,” said Brightree CEO Matt Mellott. Brightree will demo the product live at the National Home Infusion Conference this week in Orlando, Fla.

Bleep launches CPAP mask alternative

CHAPEL HILL, N.C. – Bleep, a company founded by a registered sleep technologist and CPAP user, has launched its first product: the DreamPort Sleep Solution. The product’s proprietary adhesive design means no headgear and a leak-free seal, the company says in a press release. It’s also light and one-size-fits-all. “We are confident that Bleep’s increased comfort and ease of use will improve user outcomes,” said Alan Greene, RRT, Bleep’s CMO. “The traditional CPAP mask is now a thing of the past.” The DreamPort is cleared by the U.S. Food and Drug Administration, and is covered by Medicare and most insurance. It’s currently available through a handful of partners: The CPAP Shop, Direct Home Medical, Sleep Restfully and CPAPXchange. Bleep, whose motto is “We give a bleep about sleep,” is a privately held company based in Chapel Hill, N.C., founded by Stuart Heatherington, who serves as CEO.

CMS schedules coding meeting

BALTIMORE, Md. – CMS will hold the annual Healthcare Common Procedure Coding System (HCPCS) Coding and Payment Determinations public meeting for DMEPOS on June 11-12, 2019. The meeting provides an opportunity to discuss coding and payment determinations for all new requests for revisions to the HCPCPS codes. Interested parties can make oral presentations or submit written comments. Registration information will be available at a later date.

CMS appoints data chief

WASHINGTON – CMS has appointed Dr. Mark Roche as chief healthcare informatics officer in the Office of the Administrator. Roche has more than 16 years of experience working in government, academic and industry sectors on initiatives such as national eHealth strategy, data modeling and semantic interoperability, according to an article on healtcareinnovation.com. In his new role, Roche will be responsible for helping to formulate and implement clinical and technical aspects of CMS’s interoperability strategy and MyHealthEData initiative.

Playmaker teams up with Ty Bello

NASHVILLE, Tenn. – PlayMaker Health has partnered with Ty Bello, a corporate business coach and founder of Team@Work, to offer technology and consulting services to HME and home infusion providers. “Just as we’ve done for home health and hospice, we hope to provide a higher level of service and support to our HME and Infusion clients to ensure that our technology becomes an integral part of advancing growth and expanding revenue, while delivering a high level of service to their patients and referral partners,” said Holly Miller, vice president of sales and marketing for PlayMaker.

AMS Vans donates accessible van to tech student

ATLANTA – Aimee Copeland, AMS Vans and Friends of Disabled Adults and Children have selected Kendra Allen as the winner of the Aimee Copeland Foundation essay contest for a wheelchair conversion minivan. Allen, a business technology major at Athens Tech who has cerebral palsy, says the 2012 Honda Odyssey minivan will allow her use her power wheelchair at school. AMS Vans donated $7,500 worth of reconditioning, and will provide Allen with free oil changes and tire rotation for as long as she owns the vehicle. “AMS Vans is thrilled to help present this reconditioned accessible minivan to Kendra to help her become more independent so she can fulfill her dreams,” said Mark Shaughnessy, CEO of AMS Vans. “We are inspired by her dedication to finish school and create a business that benefits others with disabilities, whether that is through counseling, transportation or clothing design.”   

NCART, NRRTS announce Gabe Adams as keynote

ARLINGTON, Va. – NCART and NRRTS have released a detailed schedule for their 2019 National CRT Leadership and Advocacy Conference, May 1-2 at the Renaissance Arlington Capital View Hotel. The conference keynote will be Gabe Adams, who was born without limbs. He will share his story and discuss his motto: “No limbs. Just a Smile for Miles.” Other speakers include Peter Thomas and Henry Claypool on “Medicare Sets the Tone”; Marge Gustas and Joe Clark on “Holding Medicaid MCOs Accountable”; Ty Bello on “Bootcamp Lessons and CRT”; and Claudia Amortegui and Tyler Mahncke on “On the CRT Radar.” The education portion of the conference will take place May 1, followed by Capitol Hill visits on May 2. Register here.

Quantum Rehab makes website more user-centric

DURYEA, Pa. – Quantum Rehab has updated its website, www.quantumrehab.com. The new website features a menu layout that is more user-friendly, and product pages with clickable tabs to show features and colors. It also allows visitors to view compatible power bases, seating and positioning, electronics and other components. Additionally, there is now information on the website for individuals who have been recently diagnosed with medical conditions like ALS or muscular dystrophy, explaining how Quantum can help meet their needs. “We know that recently diagnosed consumers seek information on our products for their medical needs and to help them pursue the most socially inclusive lives possible,” said Megan Kutch, director of marketing for Quantum. “So we’ve designed the site to help answer their questions about their specific diagnosis, making it as user-centric as possible.”

ARI receives investment

MILWAUKEE – ARI Network Services, a provider of software and marketing solutions to dealers in various markets, including HME, has received a strategic growth investment from TA Associates, a Boston-based global growth private equity firm. True Wind Capital, a San Francisco-based private equity firm that completed a take-private transaction of ARI in 2017, will remain the largest shareholder in the company. Financial terms of the transaction were not disclosed. “We have thoroughly enjoyed our relationship with the entire ARI team since we successfully took the company private 18 months ago,” said Adam Clammer, founding partner of True Wind Capital. “We are delighted to continue our relationship with ARI and are eager to begin working collaboratively with TA to help the company in its next phase of growth.” Founded in 1981, ARI provides lead-generation, e-commerce, digital marketing, electronic catalog and dealer management solutions to dealers in end markets such as power sports, outdoor power equipment, marine, recreational vehicle, tire and wheel, aftermarket auto service, appliances and home medical equipment.

FODAC receives $100k grant

STONE MOUNTAIN, Ga. – Friends of Disabled Children and Adults has received a $100,000 grant from the Georgia Baptist Health Care Ministry Foundation. The grant will be used to further FODAC”s mission to provide home medical equipment like wheelchairs, hospital beds, walkers and patient lifts at little or no cost. “This grant will assist with supporting and expanding our statewide delivery programs, providing fourteen partner agencies with HME to support our mission of helping those with injuries to rehabilitate and those with disabilities to engage more fully in life,” said Chris Brand, president and CEO of FODAC. “We are grateful to the Foundation for their support of FODAC’s service and our mission of providing HME to those in need.”