VillageMD Acquisition, Valuation, Funding & Investors

VillageMD was acquired by Walgreens Boots Alliance for $8.3B in October 2021, a 6.3x multiple on $1.3B of revenue.

VillageMD acquisition price

$8.3B

Acquired by Walgreens Boots Alliance · Oct 2021

VillageMD revenue at acquisition

$1.3B

Last twelve months · Oct 2021

VillageMD revenue multiple at acquisition

6.3x

EV/Revenue · Oct 2021

Cumulative funding VillageMD raised

$491M

across 4 funding rounds

VillageMD Overview

About VillageMD

VillageMD is a Chicago-headquartered primary care provider partnering with health systems to operate value-based clinics across the United States. It supports over 150 practices in states like Illinois, Florida, and Texas with electronic health records, analytics platforms, and care coordinators. The company collaborates with Walgreens to co-locate services in pharmacies, focusing on chronic disease management and preventive screenings.


Founded

2013

HQ

United StatesChicago, IL

Status

Acquired

Customer focus

B2C

Revenue model

Services, Subscription

Revenue

$1.3B (Oct 2021)

Valuation

$858M (Jul 2020)

VillageMD Acquisition

VillageMD was acquired by Walgreens Boots Alliance for $8.3B on 14 October 2021.

The acquisition price implies a 6.3x revenue multiple on $1.3B of revenue.

Before the acquisition VillageMD had raised $491M across 4 funding rounds.

VillageMD is a primary care provider operating value-based practices, with over 230 locations across 15 U.S. markets as of October 2021. On October 14, 2021, Walgreens Boots Alliance announced a $5.2 billion investment in VillageMD, increasing its ownership from 30% to 63%, while VillageMD remained a standalone company with its own board and management, planning an IPO in 2022. The investment aimed to accelerate expansion to over 600 co-located Village Medical at Walgreens practices in more than 30 markets by 2025, and 1,000 by 2027, with a focus on underserved communities and comprehensive care via in-person, at-home, and telehealth services. The partnership positioned Walgreens as the first national pharmacy chain to offer full-service primary care with physicians and pharmacists co-located in stores. VillageMD had grown rapidly, with revenues rising from $217 million in 2017 to an expected $1.3 billion in 2021. The transaction was subject to antitrust review and customary conditions, expected to close by end of 2021, after which VillageMD's financials would be consolidated by Walgreens.

VillageMD acquisition details
AcquirerDateTypePriceEV/Revenue
  • Walgreens Boots Alliance
14 Oct 2021Strategic M&A$8.3B6.3x

VillageMD Valuation

VillageMD is currently valued at $858M, based on its strategic investment round in July 2020.

The $275M round was led by Walgreens Boots Alliance, with participation from Kinnevik.

VillageMD valuation by funding round

VillageMD valuation by funding round
DateStageValuation
Jul 2020Strategic investment$858M

VillageMD Funding History

VillageMD has raised a total of $491M across 4 funding rounds.

VillageMD's first fundraising round was a $36M Series A in September 2015. The most recent completed round was a $275M strategic investment round in July 2020.

VillageMD funding rounds

VillageMD funding rounds
DateStageInvestorsRaisedValuationDeal Summary
Jul 2020Strategic investmentWalgreens Boots Alliance (lead); Kinnevik$275M$858MVillageMD, a Chicago-based primary care provider operating through Village Medical and other practices, serves millions of patients across 700 locations in 26 markets with over 20,000 employees. The company focuses on value-based care in hospitals and health care. On August 8, 2020, it raised $275 million in a funding round, noted as the 19th round, with total funding reaching $275 million at that time according to one source and $491 million per another. Investors included Walgreens Boots Alliance as lead, alongside Kinnevik. VillageMD competes with firms like Oak Street Health in digital health and primary care, with employee counts around 1001-2000 and growth in practices. Total funding across seven rounds reached $1.242 billion by 2021, including a small $1.28 million unattributed round in November 2021.
Sep 2019Series BKinnevik (lead); Adams Street Partners; Town Hall Ventures; Oak HC/FT$100M-VillageMD, a Chicago-based primary care provider focused on value-based care, raised a $100M Series B round in September 2019 led by Kinnevik, with participation from Adams Street Partners, Oak HC/FT, and Town Hall Ventures. The company operates clinics delivering accessible healthcare services, integrating technology for better patient outcomes and cost reduction. VillageMD serves patients through owned and affiliate practices, emphasizing primary, multi-specialty, and urgent care in clinic, home, and virtual settings. This followed a $36M Series A in 2015 and preceded a $80M private equity round in January 2018 and a $275M corporate round in July 2020 from Walgreens Boots Alliance and Kinnevik.
Jan 2018Undisclosed stageAthyrium Capital Management LP (lead)$80M-VillageMD, a national provider of primary care services, closed an $80 million growth capital financing round on January 4, 2018, led by funds managed by Athyrium Capital Management, LP. The funding aims to extend VillageMD’s national footprint and enhance its industry-leading data and technology platform. This follows a previous $36 million growth capital round led by Oak HC/FT in September 2015. VillageMD partners with primary care providers to deliver solutions that improve clinical outcomes, enhance patient and physician satisfaction, and lower total care costs through data analytics, physician-based care coordination, and on-the-ground support. CEO Tim Barry highlighted the company's pride in its clinical and financial results achieved with primary care partners over the past four years, positioning the Athyrium partnership as a key step for future growth. VillageMD's value-based care model drives results across commercial, Medicare, Medicare Advantage, and Medicaid populations. Partner practices demonstrate lower admissions and readmissions rates (20-45% below community averages), Medicare costs 20-45% lower, and commercial costs 15-20% lower, earning recognition from the Centers for Medicare and Medicaid Services for high-quality performance. The financing supports expansion into more markets and technology enhancements, as noted in reports from ChicagoInno and Chicago Business Journal. Athyrium partner Hondo Sen emphasized VillageMD's proven track record in driving improved quality and cost outcomes through primary care partnerships, viewing it as a critical change agent in U.S. healthcare.
Sep 2015Series AOak HC/FT (lead); Oxeon Partners$36M-VillageMD is a management services company that partners with leading healthcare providers to improve care delivery and optimize population health outcomes, founded in 2013. The company operates a primary care population health model designed to enable primary care providers to deliver superior clinical results while collaborating with health plans on financial models that support improved outcomes. In September 2015, VillageMD closed a $36 million Series A financing round led by Oak HC/FT, with additional participation from other new and existing investors. At the time of the funding announcement, the company partnered with over 400 primary care providers across markets in Texas and Indiana, and the capital was intended to propel expansion into several new states across the Midwest, Northeast, and Southeast. The company did not disclose post-money valuation, revenue figures, or EBITDA metrics in connection with this round; such financial details were not publicly released at the time of the announcement.

Who has invested in VillageMD?

7 investors have backed VillageMD across its funding rounds, including Oak HC/FT, Kinnevik, Adams Street Partners, Town Hall Ventures, Oxeon Partners and Athyrium Capital Management LP.

Lead investors include Walgreens Boots Alliance, Kinnevik, Athyrium Capital Management LP and Oak HC/FT.


VillageMD Investors

Investors in VillageMD by funding rounds participated
InvestorHQRoundsRoleFirst check
Oak HC/FTUnited StatesGreenwich, CT2LeadSep 2015
KinnevikSwedenStockholm2LeadSep 2019
Adams Street PartnersUnited StatesChicago, IL1ParticipantSep 2019
Athyrium Capital Management LPUnited StatesNew York City, NY1LeadJan 2018
Town Hall VenturesUnited StatesNew York City, NY1ParticipantSep 2019

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Benchmark 350K+ Funding Rounds and Disclosed VC Valuation Multiples

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Acquisitions by VillageMD

VillageMD has acquired 4 companies to date.

Last acquisition by VillageMD was on March 3rd 2023. VillageMD acquired Starling Physicians for undisclosed valuation.


Latest Acquisitions by VillageMD

Starling Physicians
Summit Health
Healthy Interactions
Summit Medical Group Arizona
Description
Starling Physicians is a New Haven-based multispecialty medical group that operates over 40 locations throughout Connecticut. The practice encompasses primary care alongside specialties like cardiology, orthopedics, gastroenterology, and oncology. Starling Physicians coordinates patient care through electronic health records and a network of more than 200 providers. Established through mergers of local practices, the group maintains a physician-owned model focused on central Connecticut communities including Middletown and Meriden.
-
Healthy Interactions is a health engagement company designing programs for chronic disease management through structured patient-provider dialogues. Based in Boston, Massachusetts, its tools include group visits for diabetes and hypertension, digital apps for goal tracking, and peer support networks. Healthy Interactions partners with health systems to improve adherence rates and reduce hospitalizations.
Summit Medical Group Arizona is a Phoenix-based primary care practice upholding a patient-centered approach through internal medicine, family medicine, and urgent care services. Located in the West Valley, it offers preventive screenings, chronic disease management, and telehealth consultations via smgarizona.com, expanding access with extended hours and same-day appointments.
HQ CountryUnited StatesTrinidad and TobagoUnited StatesUnited States
HQ City
Hartford, CT
-
Chicago, IL
Phoenix, AZ
Deal Date3 Mar 20237 Nov 202215 Feb 202230 Jan 2020
Valuationundisclosed$8.9Bundisclosedundisclosed
EV/Revenue
EV/EBITDA

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VillageMD Competitors

VillageMD competitors include listed companies like M3 Inc. and Glaukos, and private ones like Commure, Doctolib, Benchling and Cityblock Health.

Public and private companies comparable to VillageMD
CompanyHQStatusRevenueEBITDAValuationRevenue Multiple
M3 Inc.JapanJapanPublicly listed$2.3B$473M$7.7B3.0x
GlaukosUnited StatesUnited StatesPublicly listed$507M($157M)$9.5B14.6x
CommureUnited StatesSan Francisco, CAPrivate$200M-$7B35.0x
DoctolibFranceParisPrivate$400M-$6.4B16.0x
BenchlingUnited StatesSan Francisco, CAPrivate$210M-$6.1B29.0x
Cityblock HealthUnited StatesNew York City, NYPrivate--$5.7B-

VillageMD Public Comps

VillageMD is no longer listed, but its public comps include Bradsaúde, PureHealth, M3 Inc., Mayapada Hospital, Ramsay Health, Glaukos, Fortis Healthcare, Aster DM Quality Care, Bangkok Dusit Medical Services and PACS Group.

Last FYEV/RevenueEV/EBITDA
RevenueEBITDALast FYLTM2027ELast FYLTM2027E
Bradsaúde$471M$229M12.2x11.8x25.1x-
PureHealth$7.4B$1.2B1.5x1.4x9.2x8.2x
M3 Inc.$2.3B$473M3.1x3.0x14.8x11.6x
Mayapada Hospital$146M$26M63.2x-354.0x-
Ramsay Health$13B$868M1.4x1.3x19.6x10.1x
Glaukos$507M($157M)18.4x14.6x(59.6x)166.3x
Fortis Healthcare$943M$215M7.8x7.1x34.1x31.0x
Aster DM Quality Care$477M$91M14.8x9.2x77.9x44.1x

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Common questions about VillageMD

When was VillageMD founded?VillageMD was founded in 2013.
Where is VillageMD headquartered?VillageMD is headquartered in Chicago, IL, United States.
Is VillageMD publicly listed?No, VillageMD was acquired by Walgreens Boots Alliance in October 2021.
Who acquired VillageMD?VillageMD was acquired by Walgreens Boots Alliance in October 2021.
How much was VillageMD acquired for?VillageMD was acquired for $8.3B in October 2021, a 6.3x revenue multiple.
What is VillageMD's valuation?VillageMD was last valued at $858M in its strategic investment round in July 2020.
How much funding has VillageMD raised?VillageMD has raised $491M across 4 funding rounds.
What was VillageMD's last funding round?VillageMD's last funding round was a $275M strategic investment round in July 2020, led by Walgreens Boots Alliance.
Who are VillageMD's investors?VillageMD's investors include Oak HC/FT, Kinnevik, Adams Street Partners, Athyrium Capital Management LP, Town Hall Ventures, Walgreens Boots Alliance and Oxeon Partners.
Which companies are comparable to VillageMD?Companies comparable to VillageMD include M3 Inc., Glaukos, Commure, Doctolib, Benchling and Cityblock Health.
How many companies has VillageMD acquired?VillageMD has acquired 4 companies, including Starling Physicians, Summit Health, Healthy Interactions and Summit Medical Group Arizona.
What was the largest acquisition by VillageMD?The $8.9B acquisition of Summit Health in November 2022 is the largest acquisition VillageMD has made to date.

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