Nib (ASX:NHF) buys 50% stake in digital health start-up

Health insurer Nib (ASX: NHF) has acquired a 50 per cent stake in Australian digital health start-up, Midnight Health for $4 million.

Midnight Health was established in October last year, launching patient-led digital healthcare platforms integrating telehealth technology, doctors, pharmacy networks and other health partners to provide a “seamless patient experience.”

Nib noted that their core areas of support are young men’s health and women’s health with plans to expand into seniors’ health, gut health, cannabidiol products and other health needs in coming months.

“There’s a large marketplace for healthcare products and services we’re generally not able to cover through private health insurance so to this extends our reach. It also allows us to offer additional personalised support for private health insurance members,” Mr Fitzgibbon said.

“Importantly, it will introduce many young people to nib who may not yet be ready for private health insurance.”

“Midnight Health have recognised the healthcare market is diverse and that consumers are demanding products and services aligned with their individual needs. And that increasingly, delivery will be heavily reliant upon digital platforms which know them and are easy to access and navigate.”

The purchase will not have a material impact on Nib’s FY22 earnings.

Shares in Nib Holdings (ASX:NHF) are trading  0.7 per cent lower at $7.00.