Wellvana Purchases CVS Health’s MSSP Business
Wellvana, a leader in value-based care enablement, has announced the acquisition of CVS Health’s Medicare Shared Savings Program (MSSP) business. The deal, an all-stock transaction, also provides CVS Health with a strategic minority stake in Wellvana. This acquisition marks a significant step for Wellvana, cementing its position as one of the largest organizations supporting health care providers in delivering value-based care.
The acquisition expands Wellvana’s reach to 40 states and brings it closer to serving approximately 1 million Medicare patients. The combined entity has collectively saved hundreds of millions of dollars for the Medicare program over the past decade, reinforcing its role as a key player in advancing value-based care.
Kyle Wailes, President and CEO of Wellvana, commented on the acquisition, emphasizing the company’s mission to transform primary care. “Primary care is the engine that reduces cost while improving the health of our communities, and we’re on a mission to make it life-changing,” he said. He went on to describe Wellvana’s high-touch approach, which has proven effective in supporting physicians, health systems, and payors in value-based care. The acquisition of CVS Health’s MSSP business brings complementary expertise and scale, accelerating Wellvana’s ability to deliver better outcomes for patients through more valuable care.
With this acquisition, Wellvana is strengthening its capabilities in multiple areas. The company’s Accountable Care Organization (ACO) presence will be significantly expanded, broadening its affiliated network of hospitals and physicians. Additionally, Wellvana gains talent with deep experience in value-based care, along with advanced technology from CVS Health’s MSSP operations. This move will also help the company deliver more comprehensive services to physicians and their patients.
CVS Health remains dedicated to advancing value-based care through its own owned care delivery platforms, including Oak Street Health® and MinuteClinic®, as well as its accountable care contracts with providers through Aetna. However, the company recognizes the importance of collaborating with a leader like Wellvana to further advance the MSSP initiative.
“We made this decision to further advance MSSP by partnering with a value-based care leader with the right strategic focus and investment commitment in this space,” said Dr. Sree Chaguturu, President of Health Care Delivery at CVS Health. He praised the efforts of CVS Health’s colleagues who have supported the MSSP business and expressed confidence in a smooth transition, ensuring continued service to clients, providers, and patients.
As part of the acquisition, physicians joining the Wellvana network will gain access to a variety of high-touch tools designed to streamline administrative tasks and improve the delivery of care. These include scheduling support, administrative assistance, and education about value-based care. Over time, these physicians may also benefit from Wellvana’s Foundational Care™ services, which provide critical medical management support between patient appointments and after hospitalizations.
While specific terms of the deal have not been disclosed, the acquisition is expected to enhance Wellvana’s ability to serve its growing network of providers and patients. The company’s approach, which focuses on high-touch support and reducing the administrative burden on primary care practices, is a key differentiator in the value-based care space.
Wellvana was founded in 2018 and is headquartered in Nashville, Tennessee. Since its inception, the company has grown rapidly, partnering with primary care providers and health systems across the country. It currently manages approximately 1 million lives across various payors, including MSSP, REACH, and Medicare Advantage contracts.
Through its continued expansion and commitment to value-based care, Wellvana is helping to shape the future of primary care in the U.S. By integrating CVS Health’s MSSP business, Wellvana is well-positioned to enhance its offerings and support an even greater number of patients and providers in navigating the transition to value-based care.
In conclusion, this acquisition represents a significant milestone for Wellvana and underscores the growing importance of value-based care in the U.S. health care system. With its expanded reach and strengthened capabilities, Wellvana is poised to make an even greater impact on the quality and cost of care, ultimately benefiting both providers and patients.
