Cityblock Health Raises $192 Million in Series C Extension Funding to Expand Health Care Model to the Millions of Underserved People On Medicaid
29 Mar, 2021, 09:28 ET
BROOKLYN, N.Y., March 29, 2021 /PRNewswire/ -- Cityblock Health, a healthcare provider for Medicaid and lower-income Medicare beneficiaries, announced today the completion of a $192 million Series C extension funding round.
Cityblock will use the newly-raised capital to accelerate deployment of its community and value-based care model nationwide, bringing desperately needed transformation to the most vulnerable and underserved communities across the country.
New Cityblock investor Tiger Global led this latest round, with participation from existing investors including Kinnevik AB, Maverick Ventures, General Catalyst, Wellington Management, Thrive Capital, Redpoint Ventures, Echo Health Ventures, 8VC, and AIMS Imprint of Goldman Sachs Asset Management. The Series C extension brings Cityblock's total fundraising since its founding in 2017 to about $500 million.
"As one of the only value-based, comprehensive providers solving specifically for the Medicaid population, Cityblock is tackling a much needed and very ignored problem," said Scott Shleifer of Tiger Global. "We are thrilled to join the team working to revolutionize care for underserved populations."
COVID-19 has reinforced the need for a radical transformation of community health. To help drive equity right now when people need it most, Cityblock, who serves lower-income communities across New York in partnership with EmblemHealth, recently announced the opening of a new, permanent COVID-19 vaccination site in collaboration with New York City and the Brooksville Company at Spring Creek Towers, an affordable housing development in Brooklyn, New York.
In just four years since its launch, Cityblock has achieved positive results with its comprehensive care model. Data from Cityblock's first member cohort pointed to a 15% reduction in emergency room visits and a 20% reduction in in-patient hospital stays. Cityblock sees around 70% member engagement compared to the health plan average of 5-7% member engagement and receives average NPS scores of over 85, compared to the provider average of 15. While delivering these outcomes, Cityblock is experiencing 3x year-over-year revenue growth.
"We're incredibly proud and grateful that some of the world's best and brightest healthcare minds have joined us," said Iyah Romm, Chief Executive Officer and Co-Founder of Cityblock. "But more than anything, we're excited for what this level of capital investment means for our member population. It's clear that there is increased awareness of this massive problem of health inequity. We're starting to see urgency from investors and industry leaders alike."
About Cityblock Health
Founded in 2017, Cityblock Health is a transformative, value-based healthcare provider for Medicaid and lower-income Medicare beneficiaries. They partner with community-based organizations and health plans to deliver medical care, behavioral health, and social services virtually, in-home, and in their community-based clinics. Modern technology is at the core of the model, with custom-built tools to support every facet of care team operations and member interactions. Cityblock currently serves 70,000 members across New York, Connecticut, Massachusetts, and Washington, DC. For more information, visit cityblock.com.
SOURCE Cityblock Health
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