In April, San Francisco-based primary care company One Medical revealed an eye-popping compensation package for its chief executive and chairman, Amir Dan Rubin. His $199 million payday, particularly noteworthy at a company that has yet to turn a profit, made Rubin the second-highest-paid CEO in the United States last year but only on paper.
One Medical and Iora serve radically different populations. Here s why the $2.1B tie-up might make sense.
With its multibillion-dollar acquisition of value-based Iora, One Medical is betting on longitudinal care and the profitability of risk. Published June 9, 2021 One Medical
Digital health market watchers were surprised when concierge medical network One Medical announced plans to acquire value-based chain Iora Health for $2.1 billion on Monday, with some airing concerns the deal represents a marriage of two diametrically opposed operational models.
One Medical is a fee-for-service machine, with the majority of its business coming from charging commercially insured members per-visit fees. The San Francisco-based primary care group s clientele is mostly comprised of the so-called wealthy well, which it captures through direct-to-consumer arrangements along with contracts with employers like Google.
Operator
Ladies and gentlemen, thank you for standing by and welcome to the One Medical First Quarter 2021 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers presentation, there will be a question-and-answer session. [Operator Instructions]
I would now like to hand the conference over to your speaker for today, Rose Salzwedel, Head of Investor Relations. You may begin.
Rose Salzwedel
Director of Investor Relations
Thank you, operator. Hello everyone and welcome to One Medical Fiscal 2021 first quarter earnings call. I am joined today by Amir Dan Rubin, Chair and CEO of One Medical and Bjorn Thaler, Chief Financial Officer of One Medical. A complete disclosure of our results can be found in our press release issued earlier today, as well as in our latest Form 8-K, all of which are available on our website at investor.onemedical.com. As a reminder, today s call is being recorded and a replay will be available on our website.