Transcarent closed its acquisition of Accolade for approximately $621 million, the company said Tuesday.
Transcarent, which connects self-insured employer customers to behavioral health, urgent care, cancer care, pharmacy and weight management services, said it purchased Accolade for $7.03 per share in cash. The deal was first announced in January.
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Accolade, which provides healthcare navigation and engagement tools to employers, is now a private company after five years on the public markets. It will be folded into Transcarent. The combined organization will serve more than 1,700 employer and health plan clients.
Transcarent CEO Glen Tullman said the deal will allow the company to incorporate Transacrent’s generative artificial intelligence wayfinding experience, which helps consumers find care, with Accolade’s personalized health platform. Tullman will lead the merged company.
The acquisition financing was led by venture capital firm General Catalyst and Tullman’s venture capital firm 62 Ventures. Other funding sources included unnamed existing and new investors, cash on hand from the combined company’s balance sheet and debt financing led by J.P. Morgan.
Transcarent has raised $450 million since it was founded in 2020 including a $126 million round in May 2024 led by General Catalyst.
