Cityblock Health to Acquire Homeward Health, Raises $116M to Expand Into Rural Care

The companies said the combined organization will serve nearly 250,000 people and target government-funded healthcare populations across urban and rural communities.

Cityblock Health has signed a definitive agreement to acquire Homeward Health in an all-stock transaction as it expands its value-based, technology-enabled care model into rural US healthcare markets. The companies said the combined organization will serve nearly 250,000 people and target government-funded healthcare populations across urban and rural communities.

Financial terms of the acquisition were not disclosed. Alongside the deal, Cityblock announced a $116 million Series E funding round led by General Catalyst, bringing its total funding to more than $900 million.

The acquisition will combine Cityblock’s data and care-orchestration platform with Homeward’s rural provider network and care delivery model. Cityblock said the combined capabilities will support expansion among Medicare Advantage and dual-eligible populations in rural markets.

“By acquiring Homeward, a company specifically focused on rural MA, that really accelerates our penetration into that market,” Mike Roaldi, president of Cityblock Health, told Fierce Healthcare.

Brooklyn-based Cityblock currently serves nearly 200,000 members and has annualized revenue of $2.2 billion, up 77% year over year, according to CEO and co-founder Toyin Ajayi. The company operates with Medicaid plans, health systems and regional and national payers across more than 10 states.

Cityblock provides primary care, behavioral health, chronic disease management, mobile urgent care and in-home services. Its Care Orchestration and Resourcing Engine (CORE) integrates fragmented member data to identify care needs, support predictive analytics, and enable proactive interventions.

Homeward was founded in 2022 by Jennifer Schneider, M.D., and Amar Kendale to address gaps in rural healthcare. The company combines virtual care, local providers, mobile care units and remote monitoring to serve patients in rural communities.

According to Schneider, Homeward has provided comprehensive care to more than 50,000 rural patients across 50 counties in partnership with 5,000 providers.

The company is targeting a US rural healthcare market where about 60 million people live in rural areas, while 80% of rural counties lack sufficient primary care providers, according to the National Rural Health Association’s policy institute.

Cityblock said the new funding will also support further development of its AI tools, including technology designed to assist care teams with member engagement, administrative work, and identification of individual care needs.

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