Skylight Health and Collaborative Health Systems Announce Joint Venture to Partner on Value-Based Care
April 05 2022 - 6:00AM
Skylight Health Group Inc. (NASDAQ:SLHG; TSXV: SLHG) (“Skylight
Health” or the “Company”), a multi-state primary care management
group in the United States, today announced a joint venture (“JV”)
partnership with Collaborative Health Systems (CHS), a population
health management services organization and wholly owned subsidiary
of Centene Corporation (NYSE: CNC), to integrate essential
value-based care (VBC) services into Skylight Health’s growing
enterprise of primary care practices.
The primary goal of the partnership is to establish the core
necessities of a VBC program, which includes joint efforts in payor
contracting, taking on risk within Medicare Advantage, and
population health improvement, including data and analytics
supporting care coordination and quality improvement programs.
Denver, Colorado Springs, Harrisburg, and Jacksonville will be the
initial markets to participate.
Among the highlights:
- Skylight Health and CHS will partner to establish a VBC
contracting framework across Florida, Pennsylvania, and
Colorado
- Each state’s network of practices will benefit from strategic
growth and planning, in Medicare fee-for-service ACOs, and Medicare
Advantage, served through both Skylight Health and CHS
- The partnership combines CHS success in improving quality
outcomes and lowering healthcare costs with Skylight’s aggressive
growth within independent primary care practices
Overall, the joint venture will benefit from Skylight Health’s
Medicare lives served in addition to CHS’ demonstrated ability to
manage downside risk. Together, the joint venture allows further
entry into value-based care services as a larger contracting entity
providing better clinical outcomes as well as improved patient
quality scores and satisfaction. The partnership will manage all
components of the competencies required to manage risk, allowing
for Skylight Health to enter risk-bearing contracts with payors
while also supporting Skylight’s practice growth strategy as
affiliates seek larger, more robust partnerships.
“Collaborative Health Systems has been at the forefront of
profitably executing on value-based care, having generated over
$475 million in Medicare savings since 2012,” said Prad Sekar, CEO
& Co-Founder of Skylight Health. “This partnership enables us
to leverage the scale, infrastructure, and expertise of CHS,
allowing us to fast-track our timeline of value-based contracts by
approximately 24 months.”
“At Collaborative Health Systems, we are dedicated to improving
quality outcomes and delivering cost savings with our provider
partners,” said Anthony Valdés, President of Collaborative Health
Systems. “We look forward to working with Skylight Health to
improve quality, lower costs, and help Skylight’s physicians thrive
in value-based care.”
The Company news in this release augments the previous
announcement of participating as a direct contracting entity (DCE)
under a license of a leading national healthcare organization in
2022;¹ the Company intends to proceed under the arrangement in
2023 as part of CMS’ recently announced transition of the DCE
program to ACO REACH.
About Collaborative Health
Systems Collaborative Health Systems
(CHS) is a management services organization that partners with
independent primary care physicians as they move to value-based
models. Its core belief is that primary care physicians are in the
best position to influence the quality and cost of healthcare. CHS
provides comprehensive support for its physician partners by
providing management services, risk contracting, and population
health capabilities, including actionable data and other tools, to
deliver care coordination and closure of gaps in care. CHS provides
additional services to secure and deliver favorable value-based
contracts with commercial and other health plans. CHS currently
manages three Direct Contracting entities, seven MSSP ACOs, a Care
Transformation Organization, and three Independent Practice
Associations. CHS is a wholly owned subsidiary of Centene
Corporation, a leading multi-national healthcare enterprise that is
committed to helping people live healthier lives. For more
information, visit www.CollaborativeHealthSystems.com.
About Skylight Health Group Skylight
Health Group (NASDAQ:SLHG;TSXV:SLHG) is a healthcare services and
technology company, working to positively impact patient health
outcomes. The Company operates a US multi-state primary care health
network comprised of physical practices providing a range of
services from primary care, sub-specialty, allied health, and
laboratory/diagnostic testing. The Company is focused on helping
small and independent practices shift from a traditional
fee-for-service (FFS) model to value-based care (VBC) through tools
including proprietary technology, data analytics and
infrastructure. In an FFS model, payors (commercial and government
insurers) reimburse on an encounter-based approach. This puts a
focus on volume of patients per day. In a VBC model, the providers
offer care that is aimed at keeping patients healthy and minimize
unnecessary health expenditures that are not proven to maintain the
patient’s well-being. This places an emphasis on quality over
volume. VBC will lead to improved patient outcomes, reduced cost of
delivery and drive stronger financial performance from existing
practices.
Forward Looking StatementsThis press release
may include predictions, estimates or other information that might
be considered forward-looking within the meaning of applicable
securities laws. While these forward-looking statements represent
our current judgments, they are subject to risks and uncertainties
that could cause actual results to differ materially. You are
cautioned not to place undue reliance on these forward-looking
statements, which reflect the opinions of each of Skylight and
Centene Corporation only as of the date of this release. Please
keep in mind that they are not obligating themselves to revise or
publicly release the results of any revision to these
forward-looking statements in light of new information or future
events. When used herein, words such as "look forward," “will”,
"believe," "continue," "building," or variations of such words and
similar expressions are intended to identify forward-looking
statements. Factors that could cause actual results to differ
materially from those contemplated in any forward-looking
statements made by us herein are often discussed in filings they
make with the Canadian and United States securities regulators,
respectively, including the Securities and Exchange Commission,
available at: www.sec.gov, and Canadian Securities
Administrators, available at www.sedar.com, and on Skylight’s
website, at skylighthealthgroup.com as well Centene’s
website at investors.centene.com.
For more information, please visit our website or contact:
Investor Relations: Jackie
Kelly investors@skylighthealthgroup.com416-301-2949
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
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Skylight
Health |
Collaborative Health
Systems |
communications@skylighthealthgroup.com |
MediaInquiries@centene.com |
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¹ The statements
contained in this document are solely those of the authors and do
not necessarily reflect the views or policies of CMS. The authors
assume responsibility for the accuracy and completeness of the
information contained in this document. |
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