Waymark, a company specializing in Medicaid-focused provider enablement, has successfully raised a substantial $42 million in new funding. This financial infusion is earmarked for further expansion and growth of its services.
The investment round was spearheaded by Lux Capital, an existing investor, and it gains further strength with the participation of CVS Health Ventures, the venture capital division of CVS Health, as a new supporter. Furthermore, several previous investors, including New Enterprise Associates and Andreessen Horowitz, have also contributed to this funding initiative.
According to Waymark’s press release, this backing comprises a combination of $22 million in equity capital and an additional $20 million credit line. This brings the company’s cumulative funding to an impressive total of $87 million to date.
“We created Waymark because the evidence of what works to improve Medicaid outcomes exists, but the operational capacity, technology and funding is insufficient to scale to the level of need that exists in communities across the country,” stated Rajaie Batniji, M.D., Waymark CEO and co-founder.
He also mentioned that the new financing would provide the means to sustain the recruitment and training of a fresh community health workforce, broaden Primary Care Physician (PCP) capacity, and, in the end, fulfill their mission of enhancing access to and the quality of care for individuals entitled to Medicaid.
About Waymark
- Waymark operates as a public benefit organization
- Its primary mission is centered on utilizing technology to aid healthcare providers in effectively managing the care of Medicaid beneficiaries and other underserved populations.
- The company has a distinctive approach in which it actively seeks input and feedback from the communities it endeavors to serve, ensuring that its technology aligns with their needs and perspectives.
- It engages in risk-based contracts with Medicaid-managed care providers, offering vital support to community health and primary care organizations as they navigate the transition to value-based care models.
At present, Waymark plays an essential role in supporting approximately 50,000 Medicaid enrollees across Virginia and Washington. Since its launch in January 2023, Waymark has successfully established collaborations with numerous major health networks , a federally qualified health center (FQHC), and independent healthcare practices within both geographical markets.
By employing evidence-based care pathways, Waymark has delivered encouraging initial enhancements in quality ratings and clinical outcomes. These improvements encompass notable reductions in non-emergent emergency department (ED) trips and hospitalizations, underscoring the efficacy of their approach.
Vijay Patel, who serves as the managing partner and co-founder of CVS Health Ventures, shared his thoughts, noting that the company seamlessly integrates into the firm’s portfolio of businesses leading the way in revolutionizing the landscape of care delivery.
Patel emphasized that Waymark’s utilization of proprietary data science techniques to enhance access and the quality of healthcare aligns precisely with these goals. He further expressed the anticipation that this investment would result in an increased accessibility for Medicaid members to well-coordinated and comprehensive healthcare services.
