Healthcare giant Medco Health Solutions (Franklin Lakes, N.J.) has acquired DNA Direct (San Francisco), which provides guidance and decision support for genetic testing to patients, providers, payors, and employees. Financial terms of the deal were not disclosed.

Medco plans to integrate DNA Direct's services with its own portfolio of personalized medicine capabilities, which include a pipeline of pharmacogenetic research, testing programs for drugs like tamoxifen and warfarin, and warnings on over 50 drug-gene interactions that are used by the company's specialist pharmacists. Medico envisions broadening its suite of health services to range "from consumer education to clinical decision support."

Founded in 2005 to facilitate genetic testing for consumers via the Internet, DNA Direct has recently expanded to serve physicians and payors with guidance and decision support services related to molecular testing. The company's laboratory partners include LabCorp, ViroMed Laboratories, and Myriad Genetics.

In 2009, DNA Direct partnered with Humana to launch a genetic guidance program and received utilization management approval from URAC, a Washington D.C.-based health care accrediting organization that establishes quality standards for the healthcare industry.

"Together Medco and DNA Direct have envisioned genomic medicine programs for payors, employers, physicians, and patients to lower costs for all stakeholders, increase access for those who need and it, and improve patient care," says Ryan Phelan, president of DNA Direct, who noted that the company will remain in San Francisco as a Medco subsidiary.