Walgreens is partnering with technology startup Pearl Health to accelerate expansion of value-based arrangements among primary care physicians.
The New York City-based startup launched in 2020 and provides technology to help independent physician practices participate in value-based care models, with a focus on the ACO REACH program, according to a Sept. 12 news release. The company boasts more than 800 physicians across 29 states and Washington D.C. on its platform.
"Walgreens is committed to being the partner of choice for providers and health systems looking to transition quickly and effectively to value-based care and improve outcomes in the communities they serve," John Driscoll, executive vice president and president of U.S. Healthcare at Walgreens Boots Alliance, said. "Our partnership with Pearl Health allows us to reach more communities faster and enable comprehensive, affordable care that improves long-term health outcomes and fosters healthier communities."
Walgreens' VillageMD completed its acquisition of Summit Health-CityMD in January, adding more than 2,800 providers to its ranks. VillageMD, established in 2013, operates standalone Village Medical practices, full-size Village Medical practices alongside Walgreens pharmacies, and primary care in the home and virtually.
The combination of Summit Health-CityMD and VillageMD created one of the largest independent provider groups in the country, with more than 680 locations in 26 markets.
The new partnership with Pearl Health also marks the first healthcare deal announced by Walgreens since the departure of former CEO Rosalind "Roz" Brewer in late August.
Ginger Graham, the lead independent director of Walgreens, is serving as interim CEO while the company searches for a permanent CEO with "deep healthcare experience."