Premise Health and Crossover Health plan to merge, creating a large employer-focused advanced primary care company serving more than 400 organizations and operating 900 clinics across the country.
Both companies offer primary care and occupational health services for employers, unions, tribes and health plans with worksite or near-worksite clinics. The companies also offer virtual care services.
Financial details of the agreement were not disclosed. The deal is subject to customary closing conditions, including regulatory approval.
After closing, the combined company will approach $2 billion in annual revenue, according to a Premise Health spokesperson.
Premise Health brings to the deal a large footprint with 800 wellness centers in 46 states and Guam and serving millions of members. Along with virtual care, Crossover Health offers in-person care at 26 private on-campus centers and 24 shared near-site health centers, according to the company's website.
Along with primary care and occupational health, the combined company's healthcare services include behavioral health, care management, care navigation, physical therapy and chiropractic care. Premise also offers pharmacy services, including pharmacist-led chronic condition management and patient education, virtual pharmacy services and provider dispensing services, according to executives.
Premise Health and Crossover Health are both focused on developing alternative payment models, including a primary care-centered health plan, and the merger will accelerate those efforts, executives said.
After closing the deal, the two organizations will consider how to combine their brands and identities into one, a company spokesperson said, as Premise Health and Crossover Health both have strong brand recognition and equity in the market.
Stu Clark, chief executive officer of Premise Health, will lead the new organization.
Executive teams of both organizations will join the new leadership team as executives stressed this would help ensure "continuity of vision, operational expertise and strategic execution." Crossover Health CEO Scott Shreeve, M.D., and Nate Murray, chief revenue officer, who both co-founded the organization in 2010, will continue with the new company.
"Our two organizations share a firm conviction that primary care should be the foundation of any high-functioning healthcare system," Clark said in a statement. "Our separate efforts have focused on easy access to care, more time with providers, and a team-based approach, and now we are excited to bring those efforts together to create a transformative new company. Crossover has earned an excellent reputation with employers and is known for passion, creativity and innovation. We believe that together we can go farther, faster to accelerate the adoption of advanced primary care among organizations and fundamentally redefine how their populations access and experience healthcare."
Both companies have focused on providing a primary care-driven model of care that improves health outcomes and lowers costs by emphasizing preventive services that reduce emergency department visits and inpatient admissions.
In 2024, Premise published a study of more than 200,000 lives that showed patients who used Premise for advanced primary care saved an average of 30%, or $2,434 per year, on the total cost of their healthcare compared to those who accessed care in their communities. Cost savings were driven primarily by increases in primary care utilization, enhanced chronic condition management, and reductions in emergency room visits and inpatient hospital admissions, the company said.
"Crossover was built on a primary care foundation designed to deliver an exceptional member experience," Shreeve said in a statement. "It's been an absolute privilege to partner with employers who share this vision, to build out our capabilities and to serve millions of members with our innovative care model. I am excited to join my leadership team and our Premise colleagues in fundamentally transforming our shared vision into an even stronger, more capable and more innovative organization that can become the catalyst to bring advanced primary health to the 'tipping point' where it becomes the standard, not the exception."
In early 2024, advanced primary care companies Everside Health and Marathon Health merged. That combined company, now under the name Marathon Health, operates more than 750 health centers across 41 states and virtual care nationwide. The company now has more than 3 million covered lives, up from 2.5 million covered lives across 680 health centers at the time of the merger.