Rightway Raises $100M at $1.1B Valuation to Continue Redefining the Member Experience through Better Care Navigation and a New-To-The-World PBM
The Series C funding, led by Khosla Ventures, will enable Rightway to dramatically accelerate its care navigation and pharmacy services solutions to optimize healthcare experiences for members and clients
NEW YORK, March 30, 2021 /PRNewswire/ -- Rightway, a leading healthcare technology and services company revolutionizing care navigation and pharmacy benefits, today announced that it has raised $100 million in Series C financing at a valuation of $1.1 billion. The round was led by Khosla Ventures, with participation from Thrive Capital, Tiger Global Management, and other existing investors.
Rightway's robust product development, its growth to serve over 500k members across 850 clients, and a 250% increase in headcount position the company to bring a new level of transformation to the ailing healthcare landscape. The investment will be used to rapidly expand Rightway's footprint in the employer market and accelerate its advancement across health plans, third-party administrators and other strategic channels. The funding will also advance the build of RightwayRx, Rightway's new-to-the-world PBM that is rearchitecting the broken pharmacy benefits model by realigning stakeholders across the supply chain, enabling risk- and condition-based engagement, and driving optimal medication utilization through proprietary clinical protocols.
Since its founding in 2017, Rightway has used a combination of dedicated, clinical guidance and member-centric technology to help members get the highest quality care at the best price. To date, Rightway has delivered industry-leading engagement and customer satisfaction that has driven double-digit decreases in total cost of care for clients. Rightway is committed to empowering and advocating for each member, simplifying the healthcare experience while driving better outcomes and lower costs.
In 2020, Rightway launched RightwayRx, a PBM solution that eliminates legacy tactics and misaligned incentives, transforming the model into one that is fair and transparent. By combining this model with best-in-class member engagement and expert guidance, Rightway is delivering the only solution that puts the member at the center to sustainably reduce pharmacy spend. To date, RightwayRx has been able to deliver its clients an average of 20% reduction in year 1 pharmacy cost savings while simultaneously lowering member out-of-pocket costs.
"Rightway is building the most comprehensive platform within the enterprise healthcare ecosystem -- a digital-first front door that provides every member the same experience as having a doctor in the family," said Jordan Feldman, Rightway's CEO. "By pairing navigation with a new-to-the-world PBM, we believe that we are in the best position to engage employees, support their longitudinal healthcare journey, and substantially reduce costs for the member and their employer."
Samir Kaul, founding general partner at Khosla Ventures, will be joining Rightway's board of directors. "We're excited to partner with Rightway as they continue to redefine the member experience in healthcare, improving outcomes and reducing cost of care for their clients," said Kaul. "PBMs are broken. Rightway's approach of creating alignment and transparency while introducing its best-in-class navigation is poised to fundamentally disrupt a $500B market for employer pharmacy spend," he added.
"We are pleased to welcome Samir to our board as he shares our vision of transforming healthcare through better technology, increased alignment, and a relentless focus on the experience for our members and our clients," remarked Feldman.
To learn more about how Rightway is simplifying healthcare for employers and members, please visit Rightwayhealthcare.com.
About Rightway
Rightway is a technology and services company on a mission to simplify the healthcare experience. Its care navigation and pharmacy benefits solutions are delivered through a consumer-centric app that pairs every member with a live, clinician-led care team. By combining expert, human guidance with intuitive technology, Rightway drives members towards the best care and medication at the best price while eliminating wasteful and preventable spend. Advanced claims analytics enable Rightway's health guides to proactively engage high-risk members and close care gaps. Rightway currently partners with over 850 employer clients, delivers an ROI of 5X its cost, and provides a level of service that has earned it a net promoter score of 84. For more information, please visit www.Rightwayhealthcare.com.
About Khosla Ventures
Khosla Ventures provides venture assistance and strategic advice to entrepreneurs working on breakthrough technologies. The firm was founded in 2004 by Vinod Khosla, co-founder of Sun Microsystems. With over fourteen billion dollars under management, the firm focuses on a broad range of areas including consumer, enterprise, education, financial services, semiconductors, health, AI, agriculture/ food, sustainable energy and robotics. Khosla has a long track record in financial services, having backed companies including Affirm, Fundbox, Square, Stripe and Upstart. Khosla Ventures is headquartered in Menlo Park, California. For more information, visit www.khoslaventures.com.
Contacts:
Rita Lebedeva
Rightway Healthcare
[email protected]
(917) 696-9184
Kristen McMahon
160over90
[email protected]
(908) 418-7248
SOURCE Rightway
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