#Germany #Interwell Health #Value-Based Care #Fresenius Medical Care #Bad Homburg

Fresenius Medical Care Boosts Strategy with New Investments and Leadership

Fresenius Medical Care (FMC), a global leader in products and services for individuals with kidney diseases, has taken significant strides to advance its Value-Based Care (VBC) strategy. The company has made a substantial investment amounting to EUR 312 million, closing a share purchase agreement with all non-physician investors in Interwell Health (IWH). This strategic move is aimed at streamlining their operations and enhancing care delivery for patients with kidney issues.

Accelerating the Path to Enhanced Care

The recent financial commitment marks an acceleration from the original timeline established during the merger of Cricket Health, IWH, and Fresenius Health Partners, finalized in August 2022. With this transaction concluded in early September, FMC has managed to increase its ownership interest in IWH, which has solidified its position as a leader in the renal VBC market. Currently, IWH collaborates with over 2,200 nephrologists across the United States, bringing in remarkable revenue growth of EUR 1.035 billion during the first half of the year, reflecting a 23.5% increase compared to the previous year.

FMC aims to leverage its expansive resources to facilitate more effective decision-making. This investment is expected to provide a dual advantage: boosting the quality of kidney care while concurrently reducing costs. Such an approach is not only beneficial for the patients but is also designed to deliver long-term advantages to the nephrologist partners integral to FMC's operations.

Leadership Transition

Concurrently with this major investment, FMC has announced the appointment of Tommy P. O'Connor as the new Chief Executive Officer of Interwell Health, effective October 1, 2025. O'Connor is expected to usher in a new era of leadership with his extensive background in healthcare, having previously served as the CEO for the Empire and Midwest Markets at United Healthcare, Medicare. His expertise in fostering value-based partnerships and driving operational improvements is aligned with FMC's strategic objectives. O'Connor takes over from Robert Sepucha, who has been pivotal in the establishment and growth of IWH’s VBC strategy since his appointment in August 2022.

Helen Giza, CEO and Chair of the Management Board at FMC, expressed her confidence in the new leadership transition, emphasizing that O'Connor’s appointment is well-timed and poised to enhance IWH’s capabilities to deliver superior patient outcomes while maintaining cost efficiency.

A Commitment to the Future of Kidney Care

O'Connor, in his statements regarding his new role, expressed his excitement about leading Interwell Health during such a crucial phase. He looks forward to building upon the solid groundwork laid out by his predecessors and scaling innovative, patient-centered care models to enhance the overall patient experience.

Fresenius Medical Care continues to stand at the forefront of providing essential care for the nearly 4.2 million patients globally who depend on dialysis treatments. With a network comprising 3,676 dialysis clinics, FMC serves around 300,000 patients worldwide, facilitating access to vital renal care.

In conclusion, Fresenius Medical Care’s bold investment and leadership appointments reflect a significant dedication toward improving the quality and efficiency of kidney care. Their comprehensive approach underscores the importance of fostering strong interdisciplinary partnerships within the healthcare sector, paving the way for what could be a transformative future for renal care. Through the FME Reignite strategy, FMC is dedicated to creating value for all stakeholders, exhibiting a forward-thinking ethos that sets a new standard in the dialysis industry.