GLENDALE, Calif., Jan. 8, 2018 /PRNewswire/ -- Apollo Medical Holdings, Inc. ("ApolloMed" or "the Company") (NASDAQ: AMEH), an integrated population health management company, today announced that its management services organization ("MSO"), Network Medical Management, Inc. ("NMM"), has entered into a ten year Management Services Agreement ("MSA") with Accountable Health Care IPA ("Accountable IPA"), one of the largest independent physician associations ("IPA") in California. Additionally, a variable interest entity ("VIE") of ApolloMed has extended a line of credit of up to $18 million to Accountable IPA to fund working capital needs.
Founded in 1993, Accountable Health Care IPA currently provides quality healthcare services to more than 160,000 patients through a network of over 450 primary care physicians and 1700 specialty care physicians. The IPA has multiple product lines, including Medicare Advantage, Commercial, Medi-Cal managed care and Healthy Families.
Pursuant to the terms of the 10-year MSA, NMM will be responsible for managing all health plan members assigned or delegated to Accountable IPA, as well as all hospital risk pools. This effort is expected to be supported by the Company's population health management platform, which includes administrative, clinical and technology capabilities.
In connection with the MSA, a VIE of ApolloMed has extended a line of credit of up to $18 million to Accountable IPA to fund the IPA's working capital needs. The ApolloMed VIE shall have the right, but not the obligation, to convert a portion or all of the principal amount into shares of Accountable IPA's capital stock. Concurrent with the initial funding, the Accountable IPA Board of Directors has been reconstituted to be comprised of two directors, including one director from NMM.
"We are very pleased to announce this new transaction with Accountable IPA, which will add 160,000 patients to our population health management platform," stated Warren Hosseinion, M.D., Co-Chief Executive Officer of Apollo Medical Holdings. "Our integrated platform now has over 860,000 patients who are under value-based capitation arrangements with multiple health plans."
"Accountable IPA shares our goal of supporting physicians in delivering exceptional patient care," stated Thomas Lam, M.D., Co-Chief Executive Officer of Apollo Medical Holdings. "Our advanced analytics platform will also be used to evaluate clinical and claims data to gain valuable, actionable insight on patients."
"We are very excited to partner with Dr. Jayatilaka and his team to deliver differentiated care to Accountable IPA's patients," stated Kenneth Sim, M.D., Executive Chairman of Apollo Medical Holdings. "By bringing our distinctive MSO, clinical management and technology solutions to the table, we expect to improve the health of Accountable IPA's members."
About Apollo Medical Holdings, Inc. (ApolloMed)
ApolloMed is a leading physician-centric integrated population health management company working to provide coordinated, outcomes-based high-quality medical care for patients, particularly senior patients and patients with multiple chronic conditions, in a cost-effective manner. Led by a management team with over two decades of experience, ApolloMed is addressing the healthcare needs of its patients by leveraging its integrated health management and healthcare delivery platform that includes: Network Medical Management (MSO), Apollo Medical Management (MSO), ApolloMed Hospitalists, APA ACO (Next Generation ACO), ApolloMed ACO (MSSP Accountable Care Organization), Allied Physicians of California (IPA), Maverick Medical Group (IPA), Apollo Care Connect (Digital Population Health Management Platform) and ApolloMed Palliative Care Services (Hospice/Palliative Care and Home Health Care). ApolloMed strives to improve medical outcomes with high-quality, cost-efficient care. For more information, please visit www.apollomed.net.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, such as statements about the success and continuity of the Company's relationship with Accountable IPA and the Company's population health management platform. Forward-looking statements reflect current views with respect to future events and financial performance and therefore cannot be guaranteed. Such statements are based on the current expectations and certain assumptions of the Company's management, and some or all of such expectations and assumptions may not materialize or may vary significantly from actual results. Actual results may also vary materially from forward-looking statements due to risks, uncertainties and other factors, known and unknown, associated with such statements, many of which are beyond the control of the Company, which could cause the actual results, performance or achievements of the Company and its subsidiaries and variable interest entities to be materially different than those that may be anticipated on the basis of historical trends. Examples of such risks and uncertainties include but are not limited to the impact of emerging and existing competitors, the effect of new legislation on the Company's industry and business, the effectiveness of the Company's compliance and control initiatives, changes to Medicare reimbursement programs, whether or not the Company receives an "all or nothing" annual payment from the CMS in connection with our participation in the Medicare Shared Savings Program (the "MSSP"); the success of the Company's focus on next generation accountable care organization ("NGACO"), including whether the Company can continue to participate in the All-Inclusive Population-Based Payment ("AIPBP") Mechanism of the NGACO Model, as well as other factors described from time to time in the Company's reports to the Securities and Exchange Commission (including without limitation the "Risk Factors" discussed in the Company's Quarterly Report on Form 10-Q filed on November 14, 2017 for the quarter ended September 30, 2017, Annual Report on Form 10-K filed on June 29, 2017 for the year ended March 31, 2017, Registration Statement Amendment No. 2 on Form S-4/A filed on November 9, 2017, and Rule 424(b)(3) prospectus filed on November 15, 2017). Should one or more of these risks or uncertainties materialize, or should any expectations or assumptions underlying the relevant forward-looking statements prove incorrect, the Company's actual results, performance or achievements may vary materially from those described in such statements as being expected, anticipated, intended, planned, believed, sought, estimated or projected. Investors and other readers, therefore, should not place reliance on any forward-looking statements or use any historical trends to anticipate or predicate results or trends in future periods. Any statements included herein are made only as of the date hereof. The Company undertakes no obligation to update or revise any statement to reflect the impact of circumstances or events that arise after the date hereof, except as required by law, and also undertakes no obligation to correct or update information prepared by third parties.
FOR MORE INFORMATION, PLEASE CONTACT:
Apollo Medical Holdings
View original content:http://www.prnewswire.com/news-releases/apollomed-announces-that-network-medical-management-has-entered-into-an-agreement-with-accountable-health-care-ipa-to-manage-160000-patients-300578794.html
SOURCE Apollo Medical Holdings, Inc.