Elevance Health Partners with CD&R to Form Mosaic Health, Aiming for $4B Revenue

Elevance Health has announced the launch of Mosaic Health, a new primary care initiative developed in partnership with private equity firm Clayton, Dubilier & Rice (CD&R). The venture will be led by Clay Richards, co-founder and former CEO of naviHealth, who will serve as executive chair. Tony Hughes, also associated with CD&R and former CFO of naviHealth, will take on the role of CFO for Mosaic Health. This collaboration follows Elevance Health’s earlier announcement in April about its plans to develop advanced primary care models through this partnership.

Mosaic Health integrates two key CD&R assets: Apree Health, a digital health platform, and Millennium Physician Group, a Florida-based provider network. Together, they will incorporate Elevance Health’s advanced primary care solutions into their offerings, pending regulatory approval. Despite the integration, Apree Health and Millennium Physician Group will maintain their separate brands and operational independence. The financial specifics of the partnership have not been disclosed, but the strategic combination of resources is expected to enhance the delivery of primary care services.

Elevance Health executives project that Mosaic Health will generate $4 billion in annual revenue, serving around 1 million members across 19 states in various insurance markets, including Medicare, Medicaid, and commercial plans. The primary care effort is designed to be payer-agnostic, meaning it will cater to patients across different insurance providers, broadening its impact and reach within the healthcare landscape.

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