BlackRock's HPS Investment Partners, acquired by BlackRock in July 2025, has agreed to purchase the $2.8 billion stake held by Welsh, Carson, Anderson & Stowe in Humana's senior primary care facilities called CenterWell. The transaction retains a minority stake while enabling substantial expansion. Over the next two years, the new venture will deploy additional capital to grow existing clinical operations, open new centers, and support acquisitions. This deal is expected to ease Humana's balance sheet by eliminating previous put options that created liability burdens.
Initially formed in February 2020 with approximately $600 million, the first venture invested up to $800 million to launch 67 clinics by May 2022. A follow-on venture secured up to $1.2 billion to develop around 100 more clinics between 2023 and 2025. Under the prior agreement, Humana kept rights to buy WCAS out starting in 2028, while WCAS possessed forced-purchase triggers from 2030. The current arrangement removes these constraints, granting CenterWell greater operational freedom beginning in 2028. Should the clinics remain unfilled by the end of 2033, BlackRock may exit by selling the remaining properties.
Source: PE Insights · Summarized by HeadlinesBriefing