Alignment lands $135 million in Series C
Medicare Advantage (MA) startup Alignment Healthcare has deepened its pockets.
The Orange, California-based MA player announced March 4 that it has raised $135 million in Series C funding, led by Fidelity Management & Research Company. Additional funding came from funds and accounts advised by T. Rowe Price Associates Inc. and Durable Capital Partners LP.
The Series C round brings Alignment to-date total to $375 million.
“Caring for our nation’s seniors has been Alignment’s mission since our founding seven years ago when we launched a new model designed to reduce waste in the system by coordinating quality care around the patient, no matter where they are,” John Kao, founder and CEO of Alignment Healthcare, said in a statement. “The growth we’ve since experienced is a testament to the impact our model is having in improving outcomes for seniors every day, and we look forward to continuing to advance and transform the health care experience.”
Alignment is among the many MA companies that have prioritized the delivery of health care in the home setting, along with social determinants of health.
For the 2020 plan year, for example, Alignment plans began offering options for monthly grocery allowances, transportation services and access to “grandkids-on-demand” company Papa. Alignment has also publicly touted its relationship with in-home primary care provider Heal.
“In many instances, you can go into the home and see things such as food security, whether there’s depression, whether somebody lives alone or lacks access to transportation,” Alignment Consumer President Dawn Maroney previously told Home Health Care News said. “Making sure seniors get the care they need isn’t just about the care itself. It’s about taking care of their well-being and that individual as a person.”
Alignment’s new funding comes as the Medicare Advantage market continue to grow, nearly doubling in enrollment over the past decade. On its end, Alignment Healthcare’s annual revenue had grown 43% between 2014 and 2019, with the company now approaching $1 billion in projected 2020 revenue.
FirstLight grows North America footprint
Cincinnati-based home care franchise company FirstLight Home Care is expanding.
FirstLight announced plans to expand its non-medical home care services into Canada earlier this month. Sam Riad, the CEO of Comfort of Senior Living, has signed on as a master franchise, with plans to operate as FirstLight Home Care of Canada.
Riad currently operates 10 Comfort of Senior Living retirement communities across the Province of Ontario.
“We are thrilled to bring our FirstLight brand to Canada ,” Jeff Bevis, CEO and co-founder of FirstLight Home Care, said in a statement. “International expansion has always been part of our strategy … .”
FirstLight Home Care of Canada has plans to open six locations immediately across Ontario, with a vision to establish 150 more locations through expansion and franchise opportunities across the country.
FirstLight has more than 220 locations overall. Its 2019 system-wide revenues totaled slightly less than $180 million last year, Bevis previously told HHCN.
Addus moves company HQ
Frisco, Texas-based Addus HomeCare Corporation (Nasdaq: ADUS) is moving its headquarters.
Addus is primarily a personal care services provider, though it has expanded into both home health and hospice care in recent years. To accommodate its growth, the company is moving its home camp into a new space that’s roughly double the size of its current office, The Dallas Morning News reported on March 3.
“As a leading provider of home care, home health and hospice services, Addus needs an office that matches our rapid growth,” Dirk Allison, president and CEO of Addus, told the newsroom. “The [new space] will give us the ability to continue our growth across our markets.”
Additionally, Addus plans to increase its headquarters staff to almost 200 people in the next five years, according to The Dallas Morning News.
Addus currently provides home care services to approximately 42,000 consumers through 184 locations across 26 states.