‘Valtruis’ aims to earn big returns on $300M investment in value-based care
A private equity firm is sinking an initial $300 million into a new portfolio management business. The firm’s plan is to support “disruptive” healthcare provider entities that can concertedly pursue profitability by providing value-based care.
New York City-based Welsh, Carson, Anderson & Stowe (WCAS) announced the launch Aug. 3, saying it will call the new business Valtruis.
The firm suggests the move will build on its four decades of momentum investing around $10 billion in more than 90 healthcare companies via 13 private equity funds.
WCAS gives as examples of its successful healthcare concerns CenterWell, which provides office-based geriatric primary care in eight states, and InnovAge, which offers alternative eldercare programs that compete with conventional nursing homes and skilled nursing facilities.
Signing on as managing partners of Valtruis are three health execs who “collectively have been influential in growing numerous disruptive and market-leading healthcare businesses as both operators and investors,” WCAS says.
They are Anna Haghgooie, who previously worked at two other investment firms; Tracy Bahl, who led an oncology care network and ran health plans for CVS Health; and former Envision Healthcare COO Karey Witty.
In the announcement, WCAS general partner David Caluori says Valtruis is immediately positioned to “deliver a differentiated resource to emerging companies looking to accelerate the adoption of value-based care.”
Haghgooie underscores that Valtruis will back startups and established companies that are “focused on long-term growth and the drive to reduce costs, expand access and increase quality” in healthcare.
Hospice News notes that WCAS recently sold its stake in a homecare and hospice provider to Humana for around $8 billion, adding that Valtruis will probably target hospice and palliative-care markets.
Dave P. has worked in journalism, marketing and public relations for more than 30 years, frequently concentrating on hospitals, healthcare technology and Catholic communications. He has also specialized in fundraising communications, ghostwriting for CEOs of local, national and global charities, nonprofits and foundations.