#USA #Dublin, Ohio #Cardinal Health #AdaptHealth #Strive Medical

Cardinal Health's Home Care Expansion

In a strategic move aimed at fortifying its at-Home Solutions segment, Cardinal Health (NYSE: CAH) recently revealed two significant acquisitions. These transactions include the Diabetes Health business from AdaptHealth Corp. (NASDAQ: AHCO) and Strive Medical, a key player in urological supplies. The combined value of these acquisitions is approximately $360 million in cash, marking a substantial step forward in the company's strategy for home care.

Bolstering Home Care Solutions

Jason Hollar, CEO of Cardinal Health, expressed excitement over these deals, stating that they will enhance the synergy created by previous investments in home care. This expansion not only reinforces Cardinal Health’s position in the diabetes management realm but also enhances its capabilities in urology—two critical areas within the healthcare landscape. Hollar pointed out that these acquisitions represent a natural extension of their growth strategy, further cementing Cardinal Health's leadership in a rapidly evolving industry.

The agreement with AdaptHealth enhances Cardinal Health’s capabilities, allowing the company to support over 225,000 diabetes patients annually. This operation predominantly utilizes a direct-to-patient model, which is crucial for effective chronic disease management.

Conversely, Strive Medical specializes in providing home medical supplies, serving around 20,000 patients every year. The addition of Strive Medical’s products—which include urology, wound care, and ostomy supplies—broadens the spectrum of services that Cardinal Health can offer, further establishing its presence in a vital therapeutic category.

Recent Milestones in At-Home Solutions

Cardinal Health's commitment to expanding its home care solutions is evident through its recent acquisition of Advanced Diabetes Supply (ADS). This integration provided a foundation for significant operational achievements. The company reported that it successfully migrated all ADS volume onto its efficient distribution network, which is technology-enabled, onboarding nearly 500,000 new customers. A hallmark of this initiative is the launch of the ContinuCare Pathway, a unique digital referral program that streamlines the transition from pharmacy to supplier.

Rob Schlissberg, President of Cardinal Health at-Home Solutions, elaborated on the operational achievements from fiscal year 2026, emphasizing that these developments are part of their journey toward establishing the preeminent platform for delivering innovative and high-quality in-home healthcare.

Strategic Advisors and Next Steps

The route to finalizing these acquisitions hinges on meeting standard closing conditions, including regulatory approvals. Executives anticipate that both acquisitions will positively influence non-GAAP earnings per share within the first twelve months of their completion. Cardinal Health utilized reputable advisors for these ventures: J.P. Morgan Securities LLC served as the financial advisor, while legal guidance was provided by Skadden, Arps, Slate, Meagher & Flom LLP and DLA Piper concerning the AdaptHealth acquisition, and by BakerHostetler LLP for the Strive Medical deal.

The strategic direction Cardinal Health is taking showcases its determination to lead in home care, delivering high-quality and innovative solutions to healthcare challenges. With the ability to provide enhanced services and stronger product offerings, the company is well-positioned to address the growing needs in diabetic and urological care. As these acquisitions materialize, healthcare stakeholders can anticipate a strengthened Cardinal Health better equipped to fulfill patient needs in the home health sector.

About Cardinal Health

Cardinal Health is a prominent distributor of pharmaceuticals and specialty products, as well as a global manufacturer of medical products and services. The company maintains a robust customer-centric focus, driving advancements that improve patient lives every day. For further information about Cardinal Health, visit their official website at cardinalhealth.com.

Conclusion

These recent developments at Cardinal Health represent a decisive trajectory toward enhancing at-home healthcare services. As the company integrates new capabilities and expands its service offerings, it promises to deliver more comprehensive care solutions that meet the precise needs of patients across the nation.