Columbus Business First highlighted the role that Central Ohio Primary Care played in the $1B IPO. Read the article below or Click here to read.
By Carrie Ghose – Staff reporter, Columbus Business First
Central Ohio Primary Care Physicians Inc., the nation’s largest independent practice of its kind, was the first customer and owns a minority stake in a southern California startup that raised more than $1 billion in its IPO Thursday.
Agilon Health Inc. went public with a valuation of more than $9 billion. Westerville-based COPC was listed in regulatory filings as one in a group of entities that collectively hold 25% after the offering. Clayton Dubilier & Rice LLC, a New York City private equity firm, controls 58%.
The primary care group was the founding partner in 2017. Its doctors’ feedback helped shape the software platform called a “total care model” that collects and analyzes the data needed to pay doctors for achieving better patient health.
Under the model, COPC is paid a set monthly rate for seniors covered by Medicare Advantage plan – so it profits only if they don’t need costly care such as emergency department visits.
Clayton Dubilier & Rice invited COPC precisely because of its size, practice CEO Dr. William Wulf said via email. Owned by member physicians, the practice was awarded shares as part of the 2017 deal and based on performance since.
In the first year, seniors within the model had medical costs that were 10% lower than market averages, Wulf told me for a 2017 story.
Since then, Agilon has established partnerships with 17 practices, including several in Ohio. The Long Beach, California-based company had a net loss of $60 million on $1.2 billion revenue in 2020, according to its securities registration.
“The data analytics capability has helped us to risk-stratify our patients and identify both high- and low-value services and procedures,” Wulf said. “We also receive performance measures on physicians, which helps them to continuously refine & optimize their care.”
Patients in the plan have more frequent screenings and wellness checkups, and fewer emergency visits and preventable hospitalizations, COPC said.
“Agilon respects our independence as a local physician group,” Chief Medical Officer Dr. said in a news release.
Wulf also is on the board of directors for the new public company.