Specialist
Former VP, Clinical Services at Livongo Health Inc
Agenda
- Key trends and developments related to Livongo Health's (NASDAQ: LVGO) merger with Teladoc (NYSE: TDOC)
- Coronavirus impact and transition to telemedicine
- Regulatory concerns and competitive barriers to quicker adoption
- New market penetration opportunities
- Competitive landscape and positioning of major telehealth players
- Outlook for post-coronavirus growth prospects and strategic assessments
Questions
1.
What key trends and themes have you recently been following in the broad digital health and chronic disease management segments?
2.
How has Livongo’s story evolved over the last couple of years and how would you compare that with some of the macro regulatory trends you’ve outlined?
3.
What has been the high-level impact of the coronavirus pandemic on the broader market? How have some of those dynamics trickled down to Livongo?
4.
What are your thoughts on the USD 18.5bn merger between Livongo and Teladoc, announced last week? What do you think about the overall strategic significance and rationale between telemedicine and a player such as Livongo?
5.
The combined Teladoc-Livongo company expects some USD 500m in revenue synergies over the next five years and USD 60m in cost synergies over the next two years. How achievable do you think those expectations are, is there upside to those numbers and what factors might help determine those targets?
6.
Do you think the timing and pricing of the deal makes sense, especially considering Livongo’s and Teladoc’s exceptional growth rate amid the coronavirus? Do you think the trends are relatively favourable given the greenfield market opportunity? Are there substantial expansion prospects?
7.
Do you think there are any material threats from large payers such as United to do telehealth and chronic disease management in-house? Could this have played into the timing to gain market share and penetration before payers and other competitors become serious threats?
8.
How important and critical will the government payer channels be for the combined Teladoc-Livongo entity, namely Medicare and Medicaid? How might that market develop? Some historical context could be helpful.
9.
How are you assessing the digital chronic care management segment when it comes to expanding into new verticals, such as managing chronic cardiac conditions? What would be that size of opportunity, logistics, operations, etc?
10.
What percentage of finger-sticks get used in insulin-intensive vs non-insulin-intensive diabetes patients? How do you expect these markets to develop with the adoption of CGM [continuous glucose monitoring]?
11.
Livongo has been partnering with CGM companies but do you think there is a threat from Dexcom or Medtronic offering diabetes chronic disease management via their CGM technology? How might the diabetes segment shift for Livongo between BGM [blood glucose monitors] and CGM as more users shift to CGM?
12.
To what extent does branding play a role in Livongo’s diabetes care and holistic patient management? Would it be strategic to partner with a bigger brand, whether a payer or med-device manufacturer?
13.
Do you think Teladoc would be able to replicate Livongo’s business organically and if so, how long and expansive would that be? Is it much easier to have paid the premium to simply merge with Livongo?
14.
Do you have any additional insights to highlight about the Teladoc-Livongo deal?
15.
What is your 12-18-month outlook for Teladoc-Livongo? Which key factors would you track?
