Teladoc Health is a leader in the virtual healthcare marketplace. Their vision is to be able to provide "whole person" care any place, any time.
Livongo is also a virtual care provider focused on the management of chronic conditions, especially diabetes.
The two have agreed to merge in an $18.5 billion deal that will create the first health care tech giant.
Teladoc went public in 2015 and charges subscription access fees to employers and insurers so that their employees and members can access doctors on its platform.
Livongo went public last year and makes its money charging employers and insurers to provide diabetes coaching and monitoring to their workers and members.
An interesting little note - Livongo manufacturers the glucose monitors for diabetes and smart scales itself. The company brought this capability in by a series of acquisitions, not developing the hardware themselves.
Teladoc shares are down 14.4% and Livongo shares are down 6.4% the morning after this announcement.