Aledade, a network of independent primary care secured a $500 million senior secured credit facility, led by Ares Credit funds, to support the company’s continued growth and scale. The new credit facility, which has flexibility to expand to up to $650 million, doubles Aledade’s current committed financing capacity.
The expanded credit facility provides working capital flexibility to help Aledade manage its expenses and support its partners in their transition from the existing fee-for-service model to success in value-based care.
“This working capital facility provides Aledade with the flexibility to bridge the natural timing gap in Medicare payments and the capacity to expand as we continue to scale our business,” Farzad Mostashari, co-founder and CEO of Aledade, said. “This allows us to accelerate shared savings distributions to our clinician partners, enabling them to reinvest in their patients and practices sooner to sustain our momentum in value-based care.”
Dan Berger, managing director for Ares Commercial Finance, said, “As a public benefit corporation, Aledade’s mission includes improving patient care and lowering its overall cost. We are pleased to be a catalyst to further these goals.”
Todd Gordon, managing director and head of healthcare ABL in Ares Commercial Finance, said, “We are excited to support Aledade’s growth plans as its sophisticated technology continues to enable the expansion of value-based primary care on a national level to the benefit of patients and physicians while helping to drive savings for the Centers for Medicare and Medicaid Services.”
