What Elevance Health will pay for CareBridge

The fastest-growing company in Nashville will soon be owned by a public company in Indianapolis.

Elevance Health (NYSE: ELV) announced its deal to buy CareBridge in its Oct. 17 earnings call. Elevance is a health insurance provider better known by its previous name, Anthem Inc.

Terms of the deal, which was first reported by Forbes, were not disclosed. However, the Business Journal can report that the acquisition is valued at $2.7 billion, according to a source with knowledge of the deal.

CareBridge will be housed within Elevance’s Carelon division.

“Carelon ... recently entered into an agreement to acquire CareBridge, a value-based manager of home- and community-based services for chronic and complex members that will serve as the foundation for Carelon’s home health business, and we are excited to continue to serve all its customers and members,” Elevance CEO Gail Boudreaux said in the earnings call. “Carelon Services is expanding its capabilities to manage a growing proportion of health care spending, supporting the long-term growth of the business and by extension, the value it creates for health plan customers.”

According to Business Journal research, CareBridge posted $2.6 billion in revenue in 2023. With revenue growth of 21,566.7% since 2020, the company was No. 1 on our most recent list of Nashville’s fastest-growing private companies.  

In 2023, the company landed at No. 1 on the prestigious Inc. 5000 list of the country’s fastest-growing companies.

CareBridge contracts with health plans and state governments to improve care for people on Medicaid who are homebound and have physical, intellectual or developmental disabilities.

Led by Executive Chairman Brad Smith, CareBridge was founded in 2019 with backing from Oak HC/FT and Frist Cressey Ventures.

Elevance posted $171.3 billion in revenue in 2023.