Health IT, Startups

Allscripts acquires specialty drug prescribing startup ZappRX

The startup built a cloud-based platform that helps speed up the administrative tasks like electronic prior-authorization and REMS documentation associated with prescribing speciality medication.

As part of its effort to bolster its Veradigm business vertical, EHR company Allscripts has decided to acquire specialty medication prescription startup Boston-based ZappRX.

CNBC, which first reported the news, cited sources saying the sales amount was less than the company raised in venture capital funding.

Founded in 2012, ZappRx has raised more than $42 million over its existence from investors including Google Ventures, GlaxoSmithKline and the U.S. arm of Chinese investment firm Qiming.

The startup built a cloud-based platform that helps speed up the administrative tasks like electronic prior-authorization and REMS documentation associated with prescribing speciality medication.

The idea behind ZappRX’s technology was to create a less burdensome ordering process for healthcare providers, while injecting more transparency for patients. The company also developed a functionality as a real-time data provider for biopharma companies.

ZappRX mainly worked in the pulmonary and respiratory space and counts major biopharma companies like Bayer, Genentech and Teva Pharmaceutical as partners.

“Allscripts is excited to add ZappRx’s platform to our growing portfolio. The specialty-prescribing space is a key focus area for Veradigm, our payer and life sciences business unit. The addition of ZappRx’s team and technology will augment our solution offerings and provide great value to our clients,” AllScripts spokeswoman Concetta Rasiarmos said in a statement.

Veradigm already has an ePrescribe feature that allows providers to digitally prescribe medication within their clinical workflow, automate prior authorization functions and perform drug pricing checks. Adding ZappRX’s capabilities would help to bolster that existing platform.

Photo: designer491, Getty Images

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