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Telefónica Digital acquires controlling stake in Axismed, the largest chronic care management provider in Brazil

- The deal enables Axismed to expand its care model through leveraging Telefónica’s multi-channel communications platform and sales reach.
- The acquisition makes Telefónica the first telecoms Group in Latin America to deliver end to end services in the e-health market.

São Paulo, February 4, 2013Telefónica Digital, the global digital innovation arm of Telefónica, has acquired a controlling stake in Axismed, Brazil’s largest chronic care management company. The deal, which was concluded at the end of last year, will enable Telefónica Group to accelerate the development of a complete end-to-end service proposition in the fast growing Brazilian e-health market, targeting private healthcare providers, corporate customers as well as the 90 million Vivo customers in Brazil.


Axismed has been operating for 10 years and has acquired strong expertise and knowledge in the market employing doctors, nurses, pharmacists, social workers, psychologists, physiotherapists and nutritionists. Axismed’s services have been used to monitor more than 180.000 patients across the country using a proprietary system that was based on advanced clinical guidelines. Its customers include some of the leading healthcare operators and large private companies, which have reduced their costs associated with chronic patients by up to 30% thanks to Axismed’s services.



Working with Telefónica Group will open up a range of new possibilities for Axismed. Patient care will be able to adopt a multi-channel platform to contact users through mobile applications, Internet, SMS, Web, video conference and other means. The platform will enable, within the first year, the transmission of bio metrics data through connected devices in the patient’s house, which will measure glucose levels, blood pressure and other physiological indicators, based on each individual’s specific case.


The combination of  Axismed's healthcare know how with Telefonica Group’s technology expertise will enable the creation of innovative services for health plan providers and the corporate market.


 According to data from the National Health Agency (ANS), 48 million people in Brazil have a supplementary private healthcare plan. Of this, 30%, or 14.4 million, are chronic patients. These figures demonstrate the huge potential of this market, which, as it grows, will improve quality of life for millions of patients.




The next stage will see Telefonica Group work with Axismed to expand its proposition into new countries and also to identify opportunities within the Brazilian B2C market, leveraging Vivo's 90 million customer base.


Quality of life improvement


“The deal is part of the company’s global strategy to focus on the ehealth market, which is one of a number of areas in which Telefónica Digital is developing new innovative products and services,” commented Antonio Carlos Valente, CEO of the Telefónica Group in Brazil. “With our connection solutions and the Vivo 3G network, which is unparalleled in Brazil, monitoring chronic patients could reach significant numbers of people in over 3,000 cities nationwide,” said Valente.


“The market potential for remote patient management in Brazil is significant,” said Matthew Key, Chief Executive of Telefónica Digital. “The structure, the potential and the maturity of the market and the important role of private health care providers means that Brazil could take a lead globally in rolling out these services. With Axismed, we can deliver a complete end-to-end solution to the market, helping to improve quality of life for patients with chronic conditions.”


Fabio Abreu, Chief Executive of Axismed, commented, “The main idea behind all services offered by Axismed is a win-win solution in the health care sector. For instance, our services help chronic patients take care of their health status, preventing ER visits and hospitalization, help physicians have better adherence from patients for their prescriptions and orientations, consequently reducing health care costs significantly for the health plan and peace of mind for the patient and their family through constant support.”


Between 80% and 93% of the chronic patients served by Axismed have adhered to the program, which reduces emergency room visits by 66% and hospital stays by up to 50%, benefiting both patients and companies. Since chronic diseases have no cure, Axismed’s work aims to ensure that patients maintain a normal and controlled life with a lower risk of complications.


Axismed will now be a part of and enjoy the full support of the Telefónica Group, which is one of the world’s largest communication companies, with operations in 25 countries, 314 million customers and annual revenues of 62.8 billion euros (2011). In Brazil, the group’s main companies are TelefônicaBrasil (Telefônica | Vivo), which is the country’s largest telecom carrier, with 91.9 million customers, and Terra, the Internet provider and portal




About Telefónica Digital

Telefónica Digital is a global business division of Telefónica. Its mission is to seize the opportunities within the digital world and deliver new growth for Telefónica through research & development, venture capital, global partnerships and digital services such as cloud computing, mobile advertising, M2M and eHealth. It is also driving innovation in over the top communications under a new umbrella brand called TU and in Big Data through Telefónica Dynamic Insights.


Telefónica Digital will deliver these new products and services to Telefónica's 311 million customers as well as entering new markets. It is headquartered in London with regional centres in Silicon Valley, Sao Paulo, Spain and Tel Aviv. Jajah, Terra, Media Networks Latin America, 48 and giffgaff are all managed under the Telefónica Digital umbrella.


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