Healthcare technology and care enablement company Fabric announced it acquired Walmart’s telehealth platform MeMD, which provides virtual medical and behavioral health services to corporate, institutional and health plan clients.
MeMD offers 24/7 on-demand virtual urgent care, behavioral health and primary care services alongside a care coordination team to help guide users through its services.
The company was founded in 2010 and acquired by Walmart a year later.
Fabric is a care enablement company that uses conversational AI to help identify patients’ symptoms, then navigate them to the ideal care setting, such as routing them to urgent or virtual care and helping schedule primary care visits.
To speed up wait times for virtual visits, the company uses AI to perform interviews to gather condition-specific information and automate follow-ups to increase engagement.
Through the acquisition, Fabric will expand its employer and payer offerings and enhance its behavioral health strategy, while integrating its clinical intelligence and automation offerings into MeMD. MeMD’s healthcare professionals will join Fabric’s network.
“The MeMD team built a leading virtual care offering, and we are excited to welcome them to Fabric,” Aniq Rahman, founder and CEO of Fabric, said in a statement.
“This acquisition aligns with our strategic vision to transform healthcare delivery through innovative technology and exceptional patient care,” Rahman said. “The combination of our teams, technology, and clinicians strategically positions Fabric to quickly expand across payers, employers, and provider organizations.”
THE LARGER TREND
New York-based Fabric, formerly known as Florence, launched in March 2023 with $20 million in seed funding led by Thrive Capital, GV (Google Ventures) and Salesforce Ventures, with participation from Vast Ventures, Atento Capital and BoxGroup.
Shortly after, the company announced it had acquired telehealth company Zipnosis from insurtech company Bright Health in an all-cash deal. Zipnosis made white-labeled telemedicine products for providers.
In February of this year, Fabric raised $60 million in a Series A funding round led by General Catalyst with continued participation by its existing investors.
The same month, the company announced it acquired conversational AI-enabled medical assistant provider Gyant and its entire care team in another all-cash deal.
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