Humana Brings in BlackRock's HPS to Replace WCAS in CenterWell Clinic Ventures, Valued at $2.8B

Humana said on Tuesday that funds managed by HPS Investment Partners, a part of BlackRock, will acquire the equity ownership that Welsh, Carson, Anderson & Stowe (WCAS) holds in the joint ventures that own nearly 150 CenterWell Senior Primary Care clinics. The WCAS stake is valued at approximately $2.8 billion, so the figure describes the price of the stake, not the size of a new fund or a management contract. The new joint venture replaces the existing WCAS and CenterWell ventures and will be majority owned by BlackRock, with CenterWell as the minority owner.

Operations do not change hands. CenterWell, Humana's own primary care unit, will continue to manage all clinics owned by the new venture. The main benefit Humana points to is financial: it expects a significant reduction in balance sheet liabilities because the new venture carries no put option, which removes the put arrangements in the existing ventures, along with a significantly lower cost of capital.

The structure also leaves a path back to full ownership. Beginning in 2028, CenterWell can buy clinics from the venture at its election. If it has not bought them all by the end of 2033, BlackRock can start a sale process, subject to CenterWell's right of first offer. The deal is expected to close in the fourth quarter of 2026, subject to closing conditions and state and federal regulatory approval, and Humana said it is not expected to have a material impact on its 2026 adjusted earnings guidance.

Humana shares were up about 2% in morning trading, the same morning UnitedHealth reported earnings, so the move cannot be tied to the deal alone. Investors may watch for the closing and approvals, the final terms of the clinic purchase options, and how much the lower liabilities and cost of capital show up in Humana's reported results.