In a significant move for healthcare, Diverge Health, a firm specializing in value-based care partnerships with primary care providers, is joining forces with Medical Home Network (MHN), a public benefit corporation focused on federally qualified health centers (FQHCs). This merger will establish one of the nation’s largest value-based care entities dedicated to serving under-resourced communities.
With over 15 years of experience, MHN has been a key collaborator with community health centers and pioneered one of the earliest Medicaid ACOs centered on FQHCs. Diverge, established in 2022, has rapidly expanded its network among independent primary care practices, investing significantly in community-based care teams.
Diverge’s initiatives have yielded notable outcomes, including a 2% reduction in population-level medical loss ratio with a national payer and a 6% rise in primary care visits by patients in 2025. In Michigan, Oakland Physician Network Services achieved a 7.5% enhancement in targeted quality measures across practices collaborating with Diverge.
Expanding Reach and Impact
By 2027, the merged entity will collaborate with nearly 100 FQHCs, over 300 independent practices, and more than 20 Medicaid and Medicare payer partners across nine states. This partnership will support approximately 500,000 members and manage $3 billion in medical expenditures. Local community health teams will be integrated alongside partner practices to address patients’ clinical, behavioral, and social needs comprehensively.
Utilizing proprietary risk modeling, the organization identifies at-risk patients early, providing local teams with actionable insights and automated care plans. Continued investment in AI aims to reduce patient engagement costs, extend provider reach, and maintain trusted patient relationships.
“Value-based care is notoriously hard, especially in Medicaid, but strengthening our country’s primary care backbone and supporting their patients to live their healthiest lives is a moral imperative,” said Binoy Bhansali, CEO and co-founder of Diverge Health. “Together, we are proving that succeeding in value-based care is very much possible if you support these practices with the right infrastructure, community health teams, and data.”
“FQHCs care for the patients in this country who need it most. They deserve partners who share their mission and understand the complexity of their work,” said Cheryl Lulias, president and CEO of MHN PBC. Under the new structure, Bhansali will lead as CEO of Diverge Health, while Lulias will serve as co-founder and president of MHN PBC, overseeing a unified leadership team from both organizations.
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