Mission Viejo-based Auxilio Inc., a managed print services company serving the healthcare industry, said it is acquiring information security manager Delphiis in San Clemente this month in a $2.7 million cash and stock deal.
Delphiis is a “pioneer in the information security, risk management and compliance industry,” Auxilio said in a news release.
The purchase also includes commitments to keep Delphiis’ management team, including company founder and Chief Technology Officer Mike Gentile, who was named executive vice president of innovation and security at Auxilio.
“We are excited to add Delphiis to our existing suite of services focused on helping healthcare customers solve critical information security issues while saving money,” Auxilio Chief Executive Joe Flynn said in the release. “Delphiis’ talented team of information security professionals will enable us to scale this new service offering to Auxilio’s installed customer base while leveraging our existing field staff. This acquisition helps achieve our broader goals of driving incremental revenue growth with margin expansion opportunities.”
Gentile said the similarities between the companies are many and that their core mission is to solve “complex security challenges with simple, fast and collaborative solutions.”
He added that the combination of the businesses will “accelerate customer adoption and provides Delphiis with an opportunity for national expansion.”
Auxilio said in the news release that the healthcare industry is under pressure to comply with information security laws and that security breaches cost it $5.6 billion a year.
Drug Developer Featured in Journal
Santa Ana-based Io Therapeutics Inc.’s work on a potential treatment for multiple sclerosis was recently featured in industry publication Neurology Today.
Its IRX4204 was found to promote the differentiation of cells called oligodendrocytes and the formation of regulatory T cells, as well as to inhibit the formation of TH 17 cells, something that could be used to repair myelin in patients with multiple sclerosis, according to the publication.
Myelin is the protective coating on nerves that’s attacked in multiple sclerosis, producing inflammation in the central nervous system because of an abnormal immune system.
Researchers presented findings on IRX4204 and multiple sclerosis during the annual meeting of the American Academy of Neurology in April in Philadelphia.
“Our intent is to move this into clinical trials. We’d like to do both relapsing and remitting and progressive MS clinical trials,” Dr. Martin Sanders, Io’s chief executive, told Neurology Today. “We’ve got to figure out how to finance those.”
IRX4204 is also being researched for treatment of prostate cancer. Sanders told the journal that more than 70 patients were treated with IRX4204 in cancer trials and that there have been few drug-related adverse effects.
“It’s already been used in humans―and that’s huge. We have treated patients for up to 20 months and they’ve tolerated the drug well,” he said.
Institute Works With Toshiba Unit
The La Palma-based Innovation Institute, a provider of business services, products and investment management services to health systems, said one of its subsidiaries is working with Tustin-based Toshiba America Medical Systems Inc.
Healthcare Design & Construction LLC will work with Toshiba America as a vendor to provide design and construction related to Toshiba America’s acute care and outpatient medical diagnostic equipment, according to a press release.
Toshiba America is a unit of Japanese conglomerate Toshiba Corp.
The Innovation Institute was formed last year with an investment from Irvine-based St. Joseph Health. It’s made up of a laboratory, investment fund, and a group of companies that provide shared services.
Bits & Pieces
Irvine-based Masimo Corp. appointed Anand Sampath chief operating officer, according to a Securities and Exchange Commission filing. Sampath will be responsible for the patient monitor maker’s engineering, manufacturing, purchasing, regulatory and quality functions. Masimo said in its filing that Chief Information Officer Youngsam Lee, who previously had Sampath’s responsibilities, would continue oversight of its information technology and facilities functions. … David Chung, a former executive at Irvine-based heart valve maker Edwards Lifesciences Corp., is the new chief executive and president of medical device company NeoChord Inc. in Eden Prairie, Minn.
