Medidata To Acquire Mytrus For Patient eConsent System

| About: Medidata Solutions, (MDSO)
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Summary

Research software firm Medidata will acquire Mytrus for an undisclosed sum.

Mytrus has created a patient clinical trial eConsent system that makes it easier for patients and provides more data for trial sponsors.

Upon integration, the added capability should help Medidata sell a more comprehensive suite of solutions to biopharmas and clinical research organizations.

Quick Take

Clinical research software provider Medidata (MDSO) has agreed to acquire Mytrus for an undisclosed amount.

Mytrus has created a well-regarded clinical trial eConsent software system that Mytrus will combine with its existing suite of sponsor trial offerings.

The deal will solidify Medidata’s comprehensive approach to clinical trial data and analytics and assuming prompt integration, will add to its ability to sell into clinical research organizations of all sizes.

Target Company

Davis, California-based Mytrus was founded in 2009 to develop an electronic informed consent system for patients and clinical researchers.

The company’s eConsent system, called Enroll, makes clinical trial participation easier for patients to learn about and track status online, and it provides advanced analytics and a more efficient enrollment and analysis process for trial sponsors.

Management is headed by CEO Anthony Costello, who began his clinical career at Genentech and was previously co-founder of Nextrials.

Below is a brief sample video about a clinical trial and informed consent:

(Source: Paul Chang)

Mytrus received at least $2.85 million in financing between two rounds in 2009 and 2013 from undisclosed investors.

Acquisition Terms, Rationale and Commentary

Neither Medidata nor Mytrus disclosed the amount or terms of the transaction, which is expected to close in April 2017.

As of December 31, 2016, Medidata had $375 million in cash and marketable securities.

Given that Medidata did not disclose the deal amount, which it would have needed to if it was material, it’s likely the amount was under $20 million; and if so, the company would have ample financial resources to pay for the deal with existing cash.

Medidata said it will integrate Mytrus’ Enroll eConsent system into its Medidata Patient Cloud in order to expand its offering coverage to various industry participants, such as clinical research and bio banking firms.

Patient Cloud currently features AppConnect, SensorLink and ePRO which combine to allow trial sponsors to collect both subjective and objective patient data through a variety of electronic means.

With Enroll, Patient Cloud will be able to provide patients with a simplified consent process, increasing enrollment and adherence in the process.

In its acquisition press release, Medidata cited three main benefits for the system:

Educating patients about the clinical trial experience through the use of multimedia and interactive content to create a more efficient consent process

Informing site investigators’ understanding of patient questions, facilitating meaningful dialogue with the patient

Helping sponsors increase patient retention and compliance, enabling better remote tracking of consent and improved document management and version control

This kind of technology is especially relevant for the many orphan drug clinical research firms, as it is vital that they obtain and keep the smaller patient pool properly enrolled in the trial.

It is also relevant for large pharma companies who desire an efficient, systemized and electronic process for better internal data collection and analysis.

As Marisa Co, VP Business Insights and Analytics for Bristol-Myers Squibb (BMY), stated,

eConsent is rapidly becoming a strategic capability within the clinical trial landscape. It makes trial participation easier and more intuitive for patients and sets the foundation for more advanced analytics for sponsors

With the addition of Mytrus, Medidata is taking a strong step towards a comprehensive clinical trial suite of offerings.

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