HealthComp and Virgin Pulse are merging. The transaction is valued at $3 billion, but officials from the company did not confirm this. The deal will create a single technology platform allowing patients and employers to manage health plans. According to data captured in the LevinPro HC database, this acquisition represents the 207th eHealth transaction of 2023, including 11 in the patient engagement specialty.
Virgin Pulse is a digital-first health, wellbeing and navigation company that empowers organizations across the globe to activate populations, improve health outcomes and reduce spending. Virgin Pulse is backed by private equity firm Marlin Equity Partners.
HealthComp, a New Mountain Capital company, is a leading independent health plan administrator for self-funded employer groups. The company was founded in 1983 and is based in Fresno, California.
Virgin Pulse and HealthComp will retain their names and branding after the merger, and the combined company will have 20 million users and 1,000 self-insured employers.
New Mountain will hold a majority ownership of the new, combined company. Marlin Equity Partners will maintain a minority stake. The deal will also have backing from Blackstone and Morgan Health, the healthcare arm of banking giant JPMorgan Chase, which will also take minority stakes in the combined company. Blackstone’s credit arm is also providing debt financing.
