What You Should Know:
- Aledade, a Bethesda, MD-based network of independent primary care practices raises $260M in a Series F funding round led by new investor Lightspeed Venture Partners, with participation from Venrock, Avidity Partners, OMERS Growth Equity, and Fidelity Management & Research Company.
- The new funding will be used to further accelerate the growth of Aledade’s primary care network and strategic alliances with national and regional health plans while continuing to enhance the technology and support the company provides to its partner practices and patients. Additionally, Aledade is continuing its momentum by welcoming two new members of its Board of Directors and a senior executive to lead its Medicare Advantage business.
Market Expansion
By focusing on its mission and developing a model that succeeds only when practices succeed, Aledade has built the largest network of independent primary care practices in the U.S. with more than 1,500 independent primary care practices in 2023 spread across 45 states and the District of Columbia. Aledade’s more than 150 value-based care contracts collectively cover more than two million patients and more than $20B in total healthcare spending. Aledade now serves more than one million patients under the Medicare Shared Savings Program and nearly 250,000 patients under Medicare Advantage contracts with national and regional health plan partners.
Aledade generated revenue of more than $475M for 2022, representing more than 50 percent growth compared with revenue in 2021. This growth translates directly to increased payments to the practices that were part of the Aledade network in 2022. To date through 2022, Aledade and its primary care partners have saved the U.S. healthcare system more than $1.7B.
Executive & Board Appointments
Aledade has welcomed two new members of its Board of Directors and a leader of its team optimizing quality and shared savings performance under value-based contracts with Medicare Advantage plans.
- Dr. David Blumenthal, M.D., M.P.P. was a practicing primary care physician for more than 30 years. Most recently, he served as the president of the Commonwealth Fund, a national philanthropy engaged in independent research on health and social policy issues. Previously, he was the Samuel O. Thier Professor of Medicine at Harvard Medical School, and chief health information and innovation officer at Partners Healthcare System in Boston (now Mass General Brigham). He also served as the United States National Coordinator for Health Information Technology from 2009 to 2011.
- Paul Hennessy is the CEO of Shutterstock. Prior to that, Paul served 7 years on the Shutterstock board of directors. He previously served as CEO and a member of the board of directors of Vroom, Inc., and before that as CEO of priceline.com. From 2011 to 2015, Paul served as chief marketing officer of Booking.com.
Dr. Efrem Castillo joins Aledade as senior vice president for Medicare Advantage. Before joining Aledade, he was a senior vice president of clinical transformation at Optum. Prior to Optum, he was chief medical officer at United Healthcare Medicare Solutions. Earlier in his career, he was a physician-owner of Castillo Medical Group in San Antonio, Texas.