Accolade to acquire telehealth startup for $460 million

Tom Paine

Accolade (Nasdaq: ACCD), jointly based in Plymouth Meeting and Seattle, announced late today that it would acquire Houston-based telehealth startup 2nd.MD for $460 million, in a combination of cash & stock..

2nd.MD will enable Accolade users to obtain 2nd opinions when necessary.

Accolade CEO Raj Singh said in a statement. “With the addition of 2nd.MD, we’ll nearly double our total addressable market while providing the most comprehensive, integrated healthcare navigation experience available.”

Covid-19 has likely been a net plus for Accolade in recruiting more corporate clients, who contract for the service so its employees may access it as part of their benefits packages.

Accolade’s market value is now $2.6 billion, and it looks like its stock has climbed more than 10% in the wake of its announcement.