Scaling Through Partnership: How The Cigna Group Ventures Propelled Omada Health toward IPO.
Omada Health: A Digital Tool for Chronic Condition Management
Diabetes is a prevalent chronic condition in the U.S. and affects 1 in 10 Americans. It’s also one of the most expensive chronic conditions in terms of medical spending and lost productivity. It’s a condition that’s best treated through preventative and day-to-day care, but most patients only interact with their health care provider every six months.
Omada Health was founded in 2011 to close this gap by making daily care and management of chronic conditions like diabetes possible through a virtual-first approach. Omada’s virtual care platform helps members living with chronic conditions make lasting changes to improve their health and reduce care costs for organizations.
Turning a Pilot Program into a Strategic Partnership.
Omada began its engagement with The Cigna Group in 2015, working together on a pilot program that introduced Omada’s prediabetes solution to a select group of Cigna Healthcare’s administrative services only (ASO) clients. The overwhelmingly positive feedback and high engagement from patients and clients led to an expanded partnership between Cigna Healthcare and Omada to offer services to other segments, opening the doors for a deeper strategic partnership and opportunities for financial investment to accelerate growth.
For Omada, alignment to its mission of helping people across the country improve their lasting health was crucial. “Cigna was a natural fit with its mission to improve the health, well-being, and peace of mind of those it serves,” said Craig Cimini, Head of The Cigna Group Ventures. With the joint goal of helping to prevent serious chronic health conditions, The Cigna Group Ventures led Omada’s series C1 fundraising in May of 2017 and subsequently participated in rounds D and E.
I’ve always felt that Cigna, holistically, has an incredible culture and that’s shown through The Cigna Group Ventures. I felt completely convinced that they’d be a great capital partner as well as a customer and strategic partner.
– Sean Duffy Co-founder and CEO, Omada Health
Two-Year Pilot Program Results
- On average, participants experienced sustained weight loss of 3.5 percent to 5 percent of their body weight beyond one yeara,b
- Improved health resulted in $424 to $972 in net medical cost savings over two years compared to non-participants, equating to a return on investment ranging from 1:5:1 to 2:1 for employersa,b
- 83% of participants would recommend the program to a frienda
Sources: (a) 2016 Omada Diabetes Prevention Program Study. Full year. (b) Omada Pilot Program Results
Unlocking Opportunity in Chronic Condition Care
Following The Cigna Group Ventures’ investment in Omada, Cigna Healthcare expanded the pilot program into a full Diabetes Prevention Program (DPP) powered by Omada and its prediabetes solution. The integrated offering provides a turnkey solution for employers that is embedded within a broader suite of health care offerings. For patients, the virtual care program empowers them to take charge of their health, providing support to lose weight and keep it off long-term, build strategies for a healthy lifestyle, reduce risks of developing Type 2 diabetes and heart disease, and improve overall health and well-being. In a 2020 claims study, DPP helped customers lose 4.1% of body weight through year two and led to an average return on investment of 1.7:1 in year one and 2.7:1 through year two for employers.1
“The Cigna Group Ventures team has been a really good thought partner to think about the business needs, who to talk with, and how to navigate a complex organization like The Cigna Group,” said Sean Duffy, Co-founder and CEO, Omada Health.
Over the course of the partnership, Omada expanded its coverage into new care areas including Type 1 and Type 2 diabetes, hypertension, GLP-1 management and musculoskeletal programs. In 2021, Omada was named the preferred provider for Type 1 and Type 2 diabetes, hypertension and prediabetes solutions in the Digital Health Formulary, a clinically based, expertly evaluated platform of digital health and experience solutions from Evernorth, The Cigna Group’s health services segment, and is also a listed provider under musculoskeletal care. In 2024, Evernorth launched EncircleRx: Cardiodiabesity, a program for managing cardiodiabesity (obesity, diabetes and cardiovascular disease), with Omada as a key partner. Together, Evernorth and Omada helped EncircleRx members achieve an average 4.8% decrease in BMI in just six months.
1. Cigna Diabetes Prevention Program with Omada claims study, October 2020, year 1 follow up data = 15,780 participants from 551 clients and year 2 follow up data = 4,253 participants from 413 clients. Individual client and participant results may vary depending on individual health status at the start of the program and activity throughout the program. Results are not guaranteed.
We can’t stop until tomorrow’s epidemiologists notice a bend in the curve and that’s when we know we’ve had impact. I know we’ll get there, and Cigna shares that hunger.
– Sean Duffy Co-founder and CEO, Omada Health
Reaching New Heights Together
Since partnering with The Cigna Group Ventures, Omada’s enrolled membership has skyrocketed from around 100,000 members to over one million today. It’s also expanded its client base, working with more than 2,000 employers, health plans and their fully insured lines. On May 29, 2025, Omada announced the launch of its initial public offering, beginning the trading of its common stock on the Nasdaq Global Market under the ticker symbol “OMDA.”
“It’s always thrilling to see one of our partner companies go public, and it’s a testament to the commitment both Omada and The Cigna Group Ventures made toward our collective goal of changing the way we approach chronic condition care in the U.S.,” said Craig Cimini, Head of The Cigna Group Ventures. “We’re excited to watch Omada continue to grow and make an impact on the millions of Americans living with diabetes, hypertension and MSK conditions.”
Omada was one of The Cigna Group Ventures’ earliest investments before the fund formally launched in 2018 and provided the foundation of their partnership model that it continues to build upon today with its 20+ active partner companies. The Cigna Group Ventures’ contribution to and benefit from their success and their wins internally and externally have delivered financial value back to the organization. As Omada navigates its future as a publicly traded company, The Cigna Group Ventures remains a strategic partner in their journey and is excited to reach new heights together.