Centerbridge Partners L.P. is making a significant investment in GoHealth LLC, a Chicago-based provider of direct-to-consumer sales, marketing and customer service solutions for health insurance providers. The transaction is expected to close in the fourth quarter of 2019, subject to customary closing conditions.

Using diversified distribution channels, GoHealth connects consumers with insurance carriers in the Medicare, individual & family and small group markets. Its online platform, enhanced by prospect generation expertise, proprietary algorithms, business analytics and deep technology integrations, enables carriers to both lower their marketing spend and improve customer acquisition and retention.

The company was founded in 2001 by Brandon Cruz and Clint Jones, who will continue to lead the business and retain an ownership stake in the company following the completion of the transaction.

“GoHealth is a highly differentiated industry-leader operating in rapidly expanding markets with a demonstrated track record of successfully entering new market segments and driving consistent growth,” Centerbridge Senior Managing Director Jeremy Gelber said in a statement.

“In bridging the gap between consumers and insurance carriers, the company provides an innovative and highly scalable service to its broad network of healthcare relationships. GoHealth will be a compelling addition to our investment portfolio, and we look forward to working with its world-class team, led by its accomplished co-founders, in the company’s next phase of growth.”

GoHealth Co-Founder and CEO Clint Jones added: “In the two decades since its founding, GoHealth has been committed to making health insurance accessible, affordable and personalized for individuals across the country. Centerbridge’s significant investment, and extensive expertise in the healthcare and financial services sectors, will position GoHealth to improve its balance sheet, further invest in technology and innovation and deepen market penetration for the benefit of our customers and the consumers they serve.”

GoHealth is a leading player in a large and rapidly growing market, uniquely positioned to capitalize on the significant opportunities ahead, says GoHealth Co-Founder and President Brandon Cruz.

“We are poised to benefit from secular industry trends driving growth in the Medicare Advantage segment, including new consumers aging into Medicare and seniors’ increasing propensity to buy healthcare plans online,” Cruz continued. “We are excited to be partnering with Centerbridge, and to lead GoHealth in the next chapter of our growth.”  

Financial terms of the transaction were not disclosed.

Centerbridge Partners L.P. is a private investment management firm employing a flexible approach across investment disciplines — from private equity to credit and related strategies and real estate — in an effort to find the most attractive opportunities for our investors and business partners. The firm was founded in 2005 and as of June 30, has approximately $27 billion in capital under management with offices in New York and London.