HealthLynked (OTCQB:HLYK) told investors it has received the Medicare Shared Savings earned by ACO Health Partners (AHP) in 2022 from the Centers for Medicare & Medicaid Services (CMS).
The healthcare network noted that the Shared Savings net proceeds form a part of the consideration it received from the January 2023 sale of AHP to PBACO Holding LLC, which does business as Palm Beach Accountable Care Organization (PBACO).
Shared Savings earned by AHP amounted to $2.88 million and net proceeds to HealthLynked (OTCQB:HLYK) were $1.15 million, including the allocation for AHP's operating expenses and after payments to AHP's participating physicians, commission to former owners, and other expenses.
“We are pleased with the final determination of AHP's Shared Savings for performance year 2022, which was higher than we had anticipated,” HealthLynked (OTCQB:HLYK) chief financial officer George O’Leary commented.
“Our sale of AHP and collaboration with Palm Beach ACO continues to exceed our expectations.”
Under the sale agreement, HealthLynked said it may earn additional future consideration from the sale of AHP of up to $500,000 from performance year 2023 Shared Savings in October 2024 and equity in PBACO Holding in the event of an initial public offering (IPO) by PBA by February 2025.
Contact the author at stephen.gunnion@proactiveinvestors.com