Healthcare services provider Evernorth has agreed to buy US-based virtual healthcare provider MDLive for an undisclosed amount, enabling corporates Sutter Health, Novo, Sentara and Health Care Service Corporation (HCSC) to exit.
Founded in 2009, MDLive provides an online platform that enables patients to book virtual consultations with board-certified healthcare physicians including dermatologists, psychiatrists and therapists.
Evernorth’s CEO, Tim Wentworth, said: “Combining MDLive’s platform and strong network for virtual providers with our comprehensive care solutions, we will be better positioned to optimise the care journey to improve affordability and accessibility and to deliver superior support to health plans as they advance their own care delivery models for the future.”
The deal comes after more than $173m in funding. Investment firm Sixth Street’s subsidiary, Sixth Street Growth, had supplied $50m to MDLive in September 2020 alongside a $25m expansion to its debt facilities.
Cigna, HCSC and Health Velocity Capital co-led a $50m round for the company in 2018 investing together with Novo Ventures, a corporate venturing subsidiary of pharmaceutical firm Novo, and Industry Ventures. It had previously received $50m from private equity firm Bedford Funding in 2015.
Health system Sutter Health and investment holding company Heritage Group had co-led a $23.6m round for MDLive the year before that was buoyed by investments from healthcare provider Sentara, Kayne Anderson Capital Advisors and John Sculley.