Somatus has secured over $325 million in a series E funding round led by Wellington Management Company, placing the value-based kidney care company at a valuation exceeding $2.5 billion.
The new money more than doubles Somatus’ lifetime raise to nearly $500 million and, according to the company, will go toward expanding the reach of its care model, which so far serves members in 34 states.
“As we look forward, we are going to continue to focus on building strong relationships with providers who want to shift from volume to value,” Ikenna Okezie, M.D., Somatus CEO, told Fierce Healthcare. “A number of our current provider partners have already seen an improvement in how they are able to care for their patients. With our resources, technology and in-home support, we are helping providers treat the whole person, not just the disease.”
Somatus was founded in 2016 by Okezie, who had most recently served as a group executive at kidney care giant DaVita, and Chairman Anthony Welters, previously an executive vice president of UnitedHealth Group’s public and senior markets group.
The company’s comprehensive care model combines multidisciplinary community-based care teams, personalized kidney care services such as at-home dialysis and a data-driven tech platform to help coordinate and monitor care.
Somatus says the approach can delay or prevent kidney and renal disease progression for patients it reaches through value-based contracts with payer, health system and provider group partners.
“Patients may receive a detailed care plan from their doctor, but, once they get home, they often lack the resources they need to adhere to it," Okezie said. "Acting as an extension of our provider partners, our care teams go directly to the patient's home and address unmet needs to keep patients on the path to better health. We know this model works and are thrilled these funds will allow us to not only invest in the technology that has powered our growth but to also successfully scale with our provider partners so we can impact the lives of the millions of Americans who have kidney disease.”
The kidney care company saw substantial growth in 2021. According to the funding announcement, the past year included six new health plan partnerships—including a multiyear commitment from Anthem—and more than 1,000 new hires to bring its team to more than 1,350 employees.
Looking ahead, Somatus said it expects membership across its Medicare, Medicare Advantage, Medicaid and commercial plans to “grow well over 150,000 lives” by the end of this year.
Joining Wellington Management Company in the round were new backers RA Capital Management, GIC, Fidelity Management & Research Company and other unnamed investors. Also joining the raise were returning supporters Anthem, Optum Ventures, Inova Health System, Blue Venture Fund, Longitude Capital, Deerfield Management Company and Flare Capital Partners.