Knownwell Raises $25 Million to Broaden Obesity Treatment Access

Knownwell, a company specializing in primary care and metabolic health, has successfully secured $25 million in funding to enhance its services aimed at treating obesity. The announcement was made on March 4, 2024, during the HLTH conference held in Las Vegas. The funding round was led by CVS Health Ventures, with additional contributions from notable investors such as MassMutual Catalyst Fund, Intermountain Ventures, a16z Bio + Health, and Flare Capital Partners.

Knownwell, headquartered in Boston, provides a range of services including metabolic health consultations, nutrition counseling, and behavioral health care. The company prescribes GLP-1 medications when deemed necessary, and it operates nationwide through virtual care services as well as physical clinics located in the Atlanta, Boston, Chicago, and Dallas areas. It accepts various insurance plans, including commercial, Medicare, and Medicaid.

According to Alyssa Reisner, partner and executive director at CVS Health Ventures, the funding addresses a critical gap in healthcare: “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 a transformative approach to tackling obesity on a national scale.

Expansion Plans and Technological Investments

With the new funding, Knownwell intends to expand its operations by establishing additional clinics and enhancing its virtual care team. Brooke Boyarsky Pratt, co-founder and CEO of Knownwell, highlighted the company’s commitment to investing in artificial intelligence and clinical decision support systems. The strategy includes building a robust infrastructure centered around value-based care.

“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,” Boyarsky Pratt stated during an interview. She underscored the importance of preparing the necessary hiring and tools to capitalize on these emerging opportunities.

The funding arrives at a critical juncture, as some insurers, including Blue Cross Blue Shield of Massachusetts and Harvard Pilgrim Health Care, have begun to limit coverage for GLP-1 medications used for weight management. Boyarsky Pratt anticipates a challenging six months ahead but maintains a positive outlook for the future. “We actually think the next 18 months will be the year of expansion,” she asserted. “We’re really hopeful that by 2027, most patients will have access through their insurance to some newer innovations in obesity medicine.”

Market Position and Future Outlook

Knownwell operates in a competitive landscape that includes other companies offering metabolic health solutions, such as Ilant Health, Noom, and Found. What sets Knownwell apart is its comprehensive primary care approach to obesity treatment.

As the company prepares to broaden its impact, it plans to continue advocating for advancements in obesity medicine while also expanding its involvement in clinical trials. This dual focus aims to enhance both the accessibility and effectiveness of treatment options for individuals struggling with obesity.

With the recent funding and a clear commitment to innovation, Knownwell is poised to make significant strides in the field of metabolic health, potentially reshaping the landscape of obesity treatment in the coming years.