NEW YORK — Rightway, a healthcare technology company looking to revolutionize care navigation and pharmacy benefits, has raised $100 million in Series C financing and giving the company a valuation of $1.1 billion. The round was led by Khosla Ventures, with participation from Thrive Capital, Tiger Global Management, and other existing investors.
Rightway says it serves over 500,000 members across 850 clients, and has increased employee headcount by 250% increase over the past year. The new investment will be used to expand Rightway’s footprint in the employer market and accelerate its advancement across health plans, third-party administrators and other strategic channels. The funding will also advance the build of RightwayRx, Rightway’s new-to-the-world PBM that is rearchitecting the broken pharmacy benefits model by realigning stakeholders across the supply chain, enabling risk- and condition-based engagement, and driving optimal medication utilization through proprietary clinical protocols.
Since its founding in 2017, Rightway has used a combination of dedicated, clinical guidance and member-centric technology to help members get the highest quality care at the best price. To date, Rightway has delivered industry-leading engagement and customer satisfaction that has driven double-digit decreases in total cost of care for clients. Rightway is committed to empowering and advocating for each member, simplifying the healthcare experience while driving better outcomes and lower costs.
In 2020, Rightway launched RightwayRx, a PBM solution that eliminates legacy tactics and misaligned incentives, transforming the model into one that is fair and transparent. By combining this model with best-in-class member engagement and expert guidance, Rightway is delivering the only solution that puts the member at the center to sustainably reduce pharmacy spend. To date, RightwayRx has been able to deliver its clients an average of 20% reduction in year 1 pharmacy cost savings while simultaneously lowering member out-of-pocket costs.
“Rightway is building the most comprehensive platform within the enterprise healthcare ecosystem — a digital-first front door that provides every member the same experience as having a doctor in the family,” said Jordan Feldman, Rightway’s CEO. “By pairing navigation with a new-to-the-world PBM, we believe that we are in the best position to engage employees, support their longitudinal healthcare journey, and substantially reduce costs for the member and their employer.”
Samir Kaul, founding general partner at Khosla Ventures, will be joining Rightway’s board of directors. “We’re excited to partner with Rightway as they continue to redefine the member experience in healthcare, improving outcomes and reducing cost of care for their clients,” said Kaul. “PBMs are broken. Rightway’s approach of creating alignment and transparency while introducing its best-in-class navigation is poised to fundamentally disrupt a $500B market for employer pharmacy spend,” he added.