Cityblock is a health care provider for low-income communities and has seen triple revenue growth
If one thing has become clear in the last year, it is the old model of having someone come into a doctor’s office, see a doctor for 15 minutes, and then stay out of touch with their doctor until the next health problem occurs. is on the way out. Companies that rethink and revise the way care is provided will thrive.
One of these companies is Cityblock, which has deployed a neighborhood care model to help marginalized communities. It does this by working with local organizations to provide members with access to basic services, behavioral health care and social services.
The company, which grew sales three times year over year, announced that a $ 192 million Financing round to expand Series C under the leadership of new investor Tiger Global on Monday. Existing investors including Kinnevik AB, Maverick Ventures, General Catalyst, Wellington Management, Thrive Capital, Redpoint Ventures, Echo Health Ventures, 8VC and AIMS Imprint from Goldman Sachs Asset Management also attended.
This is a $ 160 million Series C round expansion that the company raised in December under the direction of General Catalyst $ 500 million.
Founded in 2017, Cityblock provides value-based healthcare to Medicaid and Medicare for lower incomes through its Commons technology platform. It includes a communication interface that nursing teams can use to text SMS and video chat with members. It also has an information sharing and organization component that helps care teams keep track of members. In addition, Commons provides real-time clinical decision support and evidence-based protocols.
In the first Cityblock member cohort, the company saw a 15% reduction in emergency room visits and in inpatient hospital stays by 20%. The company has also seen around 70% member engagement, compared to the health plan’s average of 5% to 7% member engagement.
The company currently has 70,000 members new York, Connecticut, Massachusetts, and Washington, DC. Cityblock says it will use the new funds to expand the use of its community and value-based care model across the country.
A model like Cityblock’s only became more important after COVID exposed health system inequalities. The virus has had a much greater impact on underserved communities, particularly racial and ethnic minorities. Pacific Islanders, Hispanics / Latinos, African Americans, and Indigenous Americans all had COVID-19 death rates twice that of White and Asian Americans.
To ensure an even distribution of the COVID vaccine, Cityblock announced last week the opening of a new, permanent COVID-19 vaccination center in cooperation with New York City and the Brooksville Company in Spring Creek Towers, an affordable housing development in Starrett City Brooklyn.
“Cityblock addresses a massive need in the US and supports the most vulnerable population groups with a community-based, scalable supply model. This is a great example of how value-based care can transform the health experience and create lasting change, even for populations fundamentally disadvantaged in today’s healthcare system, “said Georgi Ganev, CEO of Kinnevik, who contributed $ 30 million to the round Explanation.
“We are proud to continue to support founders Toyin Ajayi and Iyah Romm by investing disproportionately well when they expand the model in the US.”
(Image source: cityblock.com)