Why invest in primary care when every day there’s a new “ology” in healthcare to talk about? To start, the primary care industry is evolving as it continues to see the development of new innovative models. The recent success of differentiated players looking to disrupt the market is only sparking more interest, sources say. For example, primary care startup One Medical went public just two weeks ago, less than two years after receiving a $350 million capital injection from Carlyle Group. Of course, it’s important to note that One Medical operates a much different model than Cano. It’s membership-based model is tailored to young, healthy patients, as opposed to the Medicare Advantage population in which Cano and a handful of others focus. Those that are in the same camp as One Medical include TA Associate’s InHealth MD Alliance, which similarly operates a MA-focused primary care group in the Central Florida region. These medical groups are deemed attractive in part because the reimbursement trends for Medicare Advantage have been so positive. With the added feature of M&A, growth ought to be in the mid-to-high teens if you’re operating in the Florida market, one source said.
Read the full article: Sponsors Crush on Primary Care for Seniors //