Cleary Gottlieb is representing Summit Health-CityMD, a Warburg Pincus portfolio company, in a cash and equity sale to VillageMD that is valued at approximately $8.9 billion.
In connection with the transaction, Walgreens Boots Alliance and Evernorth, a subsidiary of Cigna, will make investments in VillageMD. The transaction signed on November 7, 2022, and is subject to other customary closing conditions. It is expected to close in the first quarter of 2023.
Together, VillageMD and Summit Health-CityMD will create a multipayor platform to deliver quality, affordable care for all patients. The combined company leverages VillageMD’s deep expertise in value-based care to support and accelerate the transition to more risk-based care and Summit Health-CityMD’s longstanding and deep expertise delivering multispecialty, connected care. Together, VillageMD and Summit Health will have more than 680 provider locations in 26 markets.
Summit Health-CityMD helps patients with all of their primary and specialty care needs. Together, Summit Health and CityMD have more than 2,800 providers across more than 370 locations in New York, New Jersey, Connecticut, Pennsylvania, and Central Oregon.
VillageMD offers high-quality, accessible primary care options for communities across the country. The Village Medical brand provides value-based primary care for patients at traditional free-standing practices, Village Medical at Walgreens practices, at home and via virtual visits. VillageMD and Village Medical have grown to 22 markets and are responsible for more than 1.6 million patients.
For more information, please see the press release here.