Diverge Health Merges with Medical Home Network to Strengthen Value-Based Care for Safety-Net Providers and Patients

The combined company is creating a new standard to drive better outcomes for providers dedicated to under-resourced communities

CHICAGO, Oct. 13, 2026 (GLOBE NEWSWIRE) -- Diverge Health, an organization that partners with primary care practices to strengthen the care they deliver to underserved patients, today announced they are merging with Medical Home Network (MHN), a public benefit corporation (PBC) that partners with federally qualified health centers (FQHCs) to build healthier communities. The combined company will create one of the largest value-based care organizations in the country dedicated to under-resourced communities.

The merger brings together two mission-aligned organizations with a shared founding history in Medicaid, proving their models on the hardest-to-reach and most socially complex populations before expanding into Medicare. MHN has spent more than 15 years working alongside community health centers and launched one of the first and most successful FQHC focused Medicaid ACOs nationally. Diverge has largely built its network across independent primary care practices and invested heavily in community-based care teams, delivering a 2% reduction in population-level medical loss ratio with a national payer and a 6% increase in patients visiting their primary care provider in 2025.

Together in 2027, the companies will partner with nearly 100 FQHCs, more than 300 independent practices, and over 20 Medicaid and Medicare payor partners across nine states, supporting nearly 500,000 members and $3 billion in medical spend. The combined organization will embed local community health teams alongside partner practices so that providers can proactively address patients’ clinical, behavioral, and social needs and reduce total cost of care. The company’s proprietary risk modeling identifies rising-risk patients early and puts those insights and auto-generated care plans in the hands of local teams. Through continued investments in AI, the company aims to lower the cost of engaging each patient while extending providers’ reach and preserving the relationships patients already trust.

“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.”

The merger comes at a pivotal moment for the industry, with the Centers for Medicare & Medicaid Services putting its weight behind value-based payment models increasingly meant to support community health centers and independent providers, and a growing number of state Medicaid procurements requiring health plans to do the same. Safety net providers benefit from strategic partners like Diverge and MHN to participate in these models.

“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. “This merger brings more capacity, infrastructure, and community-based resources to our partnerships with FQHCs, helping extend the model beyond the practice.”

Art Jones, Chief Clinical Officer of MHN PBC and Principal at HMA, said, “One in seven Americans receives care at an FQHC. Those health centers care for patients with some of the most complex medical and social needs in the country, and they're being asked to do it on reimbursement that hasn't kept pace. Value-based care is one of the few ways to close that gap. This combination puts more resources behind the work health centers are already doing, rather than asking them to do something different.”

Binoy Bhansali will be CEO of Diverge Health and Cheryl Lulias will serve as Co-Founder and President of MHN PBC, leading a combined leadership team drawn from both organizations. MHN PBC will continue to operate under the Diverge platform. Oak HC/FT will join the Diverge Health Board, alongside Triple Aim Partners and GV.

About Diverge Health
Diverge Health brings local population health support including community health teams, administrative support, and technology to primary care providers focused on serving underserved populations. They partner with payors to structure risk arrangements on these providers’ panels, aligning all parties to improve quality and manage cost.

About Medical Home Network
Medical Home Network (MHN) is a public benefit corporation with a mission to transform care in the safety net and build healthier communities. MHN partners with federally qualified health centers throughout the country to help them build the capabilities to be successful value-based care providers. MHN's model of care and approach consistently delivers leading health outcomes, savings, and quality results in value-based care arrangements.

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