Global financier Templeton invests $1 million in Medem

The medical society-owned online health company plans to use the money to expand its products and increase marketing.

By Tyler Chin, AMNews staff. Oct. 7, 2002.

John M. Templeton has invested $1 million to acquire an undisclosed ownership stake in Medem Inc., a San Francisco-based company that facilitates online consultations between physicians and patients.

Templeton, who was knighted in 1987 by Queen Elizabeth II, approached Medem in August after reading about the company in The Wall Street Journal, said Edward Fotsch, MD, Medem's CEO.

Medem referred questions about the size of the investment to Templeton, who faxed a statement to American Medical News stating that he invested $1 million in Medem, which is partly owned by the AMA.

Templeton said his hope that doctors soon will use technology to become more efficient helped influence his decision to invest in Medem. He also invested in the company because J.H. Whitney & Co., a global venture firm which has invested at least $20 million in Medem, "has a top record of venture capital success," he said.

Dr. Fotsch said Templeton was among a half-dozen parties who have expressed interest in investing in Medem since it launched its online consultation service in June. The company, which was not seeking financing when those potential investors approached it, is negotiating terms with some of them, he said. Dr. Fotsch declined to identify those parties. [...]