Virgin Pulse, a leading global digital-first health, wellbeing, and navigation company, has announced its intent to merge with HealthComp, a next-generation benefits and analytics platform. This merger aims to create a technology and data-powered health platform-as-a-service organization to address some of the healthcare industry’s most significant challenges.
Key points about the merger of Virgin Pulse and HealthComp:
- Integrated Experience: The merger addresses the growing demand for an integrated experience in the employer-sponsored benefits ecosystem. It brings together assets that include plan design, plan management, payment integrity, health navigation, preventative care, and digital therapeutics through the Homebase for Health® platform.
- Data-Driven Health Plans: The combined entity will leverage advanced technology and data platforms, including artificial intelligence (AI), to offer innovative and flexible health plan designs that drive improved member health outcomes, engagement, and awareness.
- Better Member Outcomes and Lower Costs: The goal of the merger is to empower better information and decision-making to improve health outcomes and reduce costs for members and employers.
- End-to-End Solution: The combined entity will create an end-to-end platform-as-a-service that is expected to lower costs and improve member outcomes. It aims to serve more than 20 million members and over 1,000 self-insured employers.
- Leadership: Chris Michalak, CEO of Virgin Pulse, will lead the combined entity. The merger is expected to close in Q4 2023, subject to regulatory approvals and satisfaction of closing conditions.
The merged organization will focus on improving the quality, equity, and affordability of employer-sponsored health care. It will create a value-based care platform company focused on employee health and outcomes, leveraging technology, data, and analytics.
Virgin Pulse impacts over 100 million people across 190 countries by helping organizations change lives and businesses through digital-first health, wellbeing, and navigation solutions. HealthComp, a New Mountain Capital company, provides a customized approach to health benefits administration and integrates with any benefits ecosystem to deliver personalized experiences and lower costs.
New Mountain Capital will be the majority owner of the combined entity, and Blackstone Credit has committed to supporting the deal with strategic financing.
The merger reflects the commitment of both Virgin Pulse and HealthComp to addressing the challenges of the employer-sponsored healthcare ecosystem and delivering better outcomes and affordability for members and employers.
