The value-based care deals shaping the industry 

As the healthcare industry shifts to value-based care models over traditional fee-for-service models, major players are making deals to facilitate that transition. 

Here are nine value-based care deals shaping the industry, according to VMG Health's 2023 "Healthcare Mergers and Acquisitions Report":

1. In January 2022, value-based care management company P3 Health Partners acquired Medcore HP. Medcore HP contracts with health plans in California, with more than 10,500 Medicare Advantage members under its license. 

2. In February 2022, Privia Health and Surgery Partners announced a partnership. Privia will build a provider network in Montana through Surgery Partner's subsidiary, Great Falls Clinic. In November, Privia announced another deal with Novant Health Enterprises; Privia will assist Novant with the transition to value-based care. 

3. In May, Skylight Health completed its acquisition of NeighborMD for $8 million. NeighborMD operates nine primary care practices, including 1,100 full-risk Medicare Advantage patients. The acquisition marks Skylight Health’s entry into full-risk contracts, according to the report. 

4. In July, Amazon announced its acquisition of One Medical for $3.9 billion. With the deal, Amazon will gain access to primary care platform Iora Health, One Medical's value-based care arm. 

5. In September, CVS Health announced it would acquire Signify Health for $8 billion. Signify connects providers to 2.5 million patients through its nationwide value-based provider networks.  Signify expanded into value-based care with its acquisition of Caravan Health in March 2022 — the organization partners with providers in accountable care organizations.  

6. In November, CareMax, a value-based provider for seniors, acquired the Medicare Advantage value-based care business of Steward Health Care System. The deal expands CareMax's network to roughly 2,000 providers and more than 200,000 value-based care patients. 

7. In January, Walgreens-backed VillageMD completed its $8.9 billion acquisition of Summit Health. The deal aims to use VillageMD's "expertise in value-based care" and Summit Health's "expertise in the delivery of care" to provide care focused on patient outcomes, according to the VMG report. 

8. Throughout 2022, Agilon Health, a platform that helps healthcare providers with the shift to value-based care models, announced partnerships with MaineHealth, United Physicians in Michigan, Palmetto Primary Care Physicians in South Carolina, Liberty Doctors in South Carolina, Entira Family Clinics and Richfield Medical Group in Minnesota, The Jackson Clinic in Tennessee and Piedmont HealthCare. 

9. Throughout 2022, Optum acquired Kelsey-Seybold Clinic, Atrius Health and Healthcare Associates of Texas, on par with its strategy of buying primary care operations and using them to "execute risk-based contracting strategies," according to the VMG report. 

Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.


Featured Webinars

Featured Whitepapers

Featured Podcast