Skylight Health Group Inc. provides an update on the expansion of one of its current Medicare Advantage (“MA”) plans from South Florida into Central Florida, increasing value-based care coverage. Skylight is currently contracted with Florida MA provider in South Florida; Its new amendment expands the current contract into its 3 primary care practices in Central Florida starting January 2023; The expansion of its current AvMed contract allows Skylight to begin enrolling Medicare members currently in the Central Florida market; Skylight expects the expanded coverage to contribute growth in MA membership for 2023. Skylight Health continues to see opportunities to expand current and engage with new provider partners for MA value-based care across its network in Florida.

The Company currently has 4 MA value-based care contracts in place with future contracts in negotiation. As practices are able to take on more health plans and provide patients with more options, this is a positive step towards expanding access for current and new AvMed members seeking primary care. Additionally, the amendment to expand coverage also includes a shift in the current reimbursement model from fee-for-service to a value-based care capitation fee with shared savings opportunities.

The Company expects that this will be an increase to the current revenue generated under this contract not including any projected growth from the newly added Central Florida locations. This additional funding will allow the Company to provide more resources to support current and new MA members under the value- based care plan. The Company expects that credentialing will be completed in time for annual enrollment that generally runs between October and December of each calendar year.

This would enable its 3 central Florida locations to begin accepting new MA members under this plan for an effective start in January 2023.