Knownwell Raises $25 Million to Enhance Obesity Care Services

Knownwell, a primary care and metabolic health company, has secured $25 million in funding, led by CVS Health Ventures. The announcement was made during the HLTH conference in Las Vegas on October 9, 2023. This financial boost will enable Knownwell to expand its services for obesity management and metabolic health.

Based in Boston, Knownwell provides a range of services including primary care, nutrition counseling, and behavioral health support. The company also prescribes GLP-1 medications when appropriate, offering virtual care nationwide and in-person services at clinics located in the Atlanta, Boston, Chicago, and Dallas areas. Knownwell accepts various insurance plans, including commercial, Medicare, and Medicaid.

The funding round also saw participation from notable investors such as the MassMutual Catalyst Fund, Intermountain Ventures, a16z Bio + Health, and Flare Capital Partners. To date, the company has raised over $50 million to support its objectives.

Alyssa Reisner, partner and executive director at CVS Health Ventures, highlighted the importance of this investment, stating, “The ability to deliver comprehensive and longitudinal care at scale is exactly what payers and health systems need to address one of the most pressing drivers of high costs and poor outcomes in healthcare today.” She emphasized that this investment represents more than just financial backing; it embodies a transformative approach to obesity treatment across the country.

Plans for Expansion and Innovation

With the newly acquired funding, Knownwell aims to enhance its care capabilities by opening additional clinics and expanding its virtual care team. According to Brooke Boyarsky Pratt, co-founder and CEO of Knownwell, the company will also invest in artificial intelligence and clinical decision support systems. “We think that as prices come down and new, innovative programs are introduced, there will be opportunities to participate in different reimbursement models for all the great care we’re delivering today outside of a fee-for-service context,” she stated in an interview.

Knownwell’s funding arrives during a challenging period for the industry, as some insurers, including Blue Cross Blue Shield of Massachusetts and Harvard Pilgrim Health Care, are starting to limit coverage for GLP-1 medications used for weight loss. Boyarsky Pratt anticipates a turbulent six months ahead but believes this phase will be temporary. “We actually think the next 18 months will be the year of expansion,” she asserted. Looking forward, she is optimistic about pricing changes in the near future, particularly as pharmaceutical companies like Lilly and Novo Nordisk introduce oral GLP-1 options.

Advocacy and Competition in Obesity Medicine

Beyond expanding clinical services, Knownwell plans to continue advocating for advancements in obesity medicine and enhance its involvement in clinical trials. The company operates in a competitive landscape, where other players such as Ilant Health, Noom, and Found also offer metabolic health support. However, Knownwell distinguishes itself by adopting a primary care approach to obesity management.

As the landscape of obesity treatment evolves, Knownwell’s strategic funding and innovative plans position it to make a significant impact on the future of metabolic health care. The company’s commitment to comprehensive care and its focus on emerging technologies could potentially reshape how obesity is treated and managed on a national scale.