WellBe Senior Medical has received an investment from CVS Health Ventures, the corporate venture capital arm of CVS Health (NYSE: CVS).
The company did not disclose the investment amount.
The funds will further fuel WellBe’s national expansion. Currently, the company operates in seven states across the U.S. Most recently, it set up shop in Oregon.
“The additional investment allows us to continue to grow — that’s really the bottom line,” Dr. Jeffrey Kang, founder and CEO of WellBe Senior Medical, told Home Health Care News. “Otherwise, we have all of the services and all the infrastructure and technologies in place to be successful.”
The Chicago-based WellBe offers home-based medical care services to patients who are facing multiple complex health challenges. WellBe is also backed by the private equity firm Chicago Pacific Founders.
The company serves the Medicare Advantage (MA) population, and has more than 107,000 MA members to date.
CVS Health’s investment in WellBe is a move to increase access to care for seniors, it believes.
“CVS Health Ventures is committed to helping provide seamless access to quality health care, especially for vulnerable populations like seniors,” Vijay Patel, managing partner of CVS Health Ventures, said in a press statement. “WellBe’s innovative approach to in-home medical care aligns with our vision of redefining the way health care is delivered in a multi-payer, patient-centric manner. Our collaboration with WellBe will support their mission to empower seniors to live healthier, happier lives in their homes.”
WellBe has an aggressive growth strategy in place that will allow the company’s care services to be available to more seniors. By the end of 2024, the company aims to have a presence in 12 markets.
Additionally, the company still sees more MA opportunities, and will continue on this path while also considering entering the Medicaid arena.
“Medicaid is right for this,” Kang said. “Just think about any health insurance that has really sick people who have a hard time accessing physicians. That’s what this model works really well for. As we sit today, about 20% of our members are actually dual-eligible already.”
WellBe is CVS Health’s latest home-based care interest. The latter has become a significant presence in the home-based care space in recent years.
Last year, CVS Health completed its $8 billion purchase of Signify Health, a value-based platform that offers at-home health risk assessments, among other services.
Plus, CVS Health also closed on its $10.6 billion deal to acquire primary care provider Oak Street Health last year.
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