Outcome Health

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Outcome Health is a healthcare technology company founded by Rishi Shah and valued at $5.6 billion in May 2017. It is registered in Delaware as ContextMedia Health LLC.[1]

In May 2017, a funding round with Goldman Sachs, CapitalG, Pritzker Group, and others invested $600 million in Outcome Health, giving it a $5.6 billion valuation.[2] This is the largest single funding round in Chicago since Groupon in 2011, when it raised $950 million in its fifth funding round.[3]

According to a report in The Wall Street Journal unnamed former employees and advertisers accused the company of overcharging their customers for advertisements and misquoting third-party analyses and falsifying documents on the ads' performance. According to the accusations, Outcome Health reported that the ads appeared on more video screens than they had installed.[1][4] Lanny Davis, a company spokesperson, responded by saying a law firm had been hired to "review allegations about certain employees’ conduct that have been raised internally."[1]

As of January 2018, Outcome Health decided to settle outstanding investor lawsuits in exchange for having Shah and Agarwal step down[5].

In June 2018, Matt McNally, former chief media officer at Publicis Health, was announced as the company's new CEO. [6]

References[edit]

  1. ^ a b c Winkler, Rolfe (October 12, 2017). "Outcome, a Hot Tech Startup, Misled Advertisers With Manipulated Information, Sources Say". The Wall Street Journal. Retrieved 13 October 2017. 
  2. ^ Konrad, Alex. "This 31-Year-Old Is Worth $3B For Bringing Drug Marketing Into Your Doctor's Office". Forbes. Retrieved 27 August 2017. 
  3. ^ "Chicago's newest billionaire, 31-year-old Rishi Shah, is self-made". Chicago Sun-Times. Retrieved 27 August 2017. 
  4. ^ Lynley, Matthew. "Startups advertising In-office medical advertising startup Outcome Health reportedly misled advertisers". Tech Crunch. Retrieved 13 October 2017. 
  5. ^ Marotti, Ally. "'Uphill battle' predicted for Outcome Health after settlement with investors". chicagotribune.com. Retrieved 20 February 2018. 
  6. ^ Marotti, Ally. "Outcome Health names advertising executive as new CEO". chicagotribune.com. Retrieved 2018-09-20. 

External links[edit]

Recap on Outcome Health[edit]

WSJ investigation
COO leaves
Advertisers suspend deals
Investors sue
DOJ investigates

https://www.wsj.com/articles/outcome-healths-investors-receive-subpoenas-from-justice-department-1510276020