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Capital Allocators: Scaled Growth Equity at agilon health

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Episode Description

Ravi Sachdev is a Partner and Ron Williams is an Operating Advisor at Clayton Dubilier & Rice, a global private equity firm with $57 billion in assets under management that was founded in 1978. agilon health is a company CD&R created from the purchase of two businesses in 2016 and grew using aspects of buyout, venture capital, and growth equity investment strategies. The business assists primary care physicians transition from a traditional “fee for service” model to an outcomes “value-based” model, where incentives are aligned across patients, payers, and providers.

Our conversation covers the founding of agilon, its economics, and CD&R’s entry in the business. We turn to agilon’s start as a novel business concept alongside established traditional capabilities, driving operational change, expanding the model, and preparing the company to go public. We close by discussing the potential to leverage this model across other opportunities in the space.

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Ron Williams is an Operating Advisor to CD&R’s funds and is not a partner or employee of CD&R. The compensation of Operating Advisors such as Ron is generally borne by CD&R’s funds and/or such funds’ portfolio companies, which creates a conflict of interest, because it incentivizes Operating Advisors, including Ron, to endorse CD&R and its funds. Ron has not been compensated, directly or indirectly, for posting this podcast or for participating in this podcast. In addition, Ron is an investor in CD&R’s funds.