Humana Announces New Strategic Joint Venture with BlackRock to Manage CenterWell Senior Primary Care Clinics
Key Highlights
- ➤BlackRock to acquire WCAS’s equity stake in nearly 150 clinics, valued at approximately $2.8 billion
- ➤New joint venture expected to provide Humana enhanced balance sheet efficiency and lower capital costs
- ➤Additional capital over two years will fund clinic operations, new locations, and strategic acquisitions
- ➤Humana expects significant balance-sheet liability reduction after removing existing joint-venture put arrangements
- ➤Transaction expected to close in Q4 2026 and not materially affect 2026 adjusted earnings guidance
Expert Statements
Sanjay Shetty, President of CenterWell
“We look forward to this new venture with BlackRock as our partner, while our growing network of CenterWell clinics remains dedicated to serving patients with our unique model of senior-focused, value-based care.”
Sanjay Shetty, President of CenterWell
“We are grateful to the WCAS team for their strong partnership and meaningful contribution over the past seven years and look forward to continued success for CenterWell Senior Primary Care with the support of BlackRock.”
Humana Announces New Strategic Joint Venture with BlackRock to Manage CenterWell Senior Primary Care Clinics
* The new joint venture arrangement will replace CenterWell’s existing joint ventures with Welsh, Carson, Anderson & Stowe (“WCAS”) through an acquisition of WCAS’s current equity stake by BlackRock. * CenterWell Senior Primary Care will continue to manage and operate all clinics owned through the joint venture. * Transaction is expected to provide Humana with enhanced balance sheet efficiency, additional growth capital, greater financial flexibility, and a reduced cost of capital. * Anticipated additional capital commitment for the joint venture can fuel future growth and reinforce CenterWell’s position as the nation’s largest senior-focused primary care provider. Humana Inc. (NYSE: HUM) today announced it has entered into a new joint venture agreement with funds and accounts managed by HPS Investment Partners, a part of BlackRock (“BlackRock”), to manage and operate an existing network of nearly 150 CenterWell Senior Primary Care clinics that currently sit within joint ventures owned by funds affiliated with WCAS and CenterWell. The new joint venture, majority owned by BlackRock and minority owned by CenterWell, will replace the current CenterWell and WCAS joint ventures that were instrumental in successfully scaling CenterWell into the nation’s largest provider of senior-focused value-based primary care over the last seven years.
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