British hospitals lost $18 million due to AI startup

British hospitals lost $18 million due to AI startup

British hospitals lost $18m due to AI startup

Two NHS hospital funds in the UK lost almost £15m ($18m) due to the collapse in the value of an AI startup. The Register writes about this.

Since 2017, a number of foundations and hospitals have made a deal with Sensyne Health, which develops medicines using AI. As a result of the agreement, the institutions exchanged patient data for shares.

The company has since been delisted from AIM, which is part of the London Stock Exchange.

In recently released financial reports, Oxford University Hospital said it lost £9.2m ($11.06m) of the value of its shares. The Chelsea and Westminster Hospital NHS Foundation Trust said the value of its securities fell by £5.4m ($6.49m).

In 2017, Oxford University Hospital received £5 million ($6 million) of equity capital from Sensyne, then called Drayson Technologies. In its 2020-21 report, the institution valued its equity at £7.3 million ($8.78 million).

However, the trust’s 2021-22 annual report shows that its investments in associates and joint ventures lost 9.16 million pounds ($11 million). The reason given is “a revaluation of Sensyne Health PLC's shareholding due to a fall in the share price for the year.”

In 2018, the NHS Foundation Trust received £5m ($6m) in a similar deal. In 2021, the value of the shares was estimated at 5.77 million pounds ($6.94 million). However, in March 2022, they were valued at £387,000 ($465,000).

Sensyne was delisted from AIM in May 2022 following a funding agreement that introduced a new management team.

Sensyne was delisted from AIM in May 2022.

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According to The Register, at least seven NHS trusts have been affected by the drop in the company's value.

Recall that in September 2021, a class-action lawsuit was filed against DeepMind due to the use of patient data in the UK.< /p>