Owens & Minor to Acquire Apria for $1.6 billion
The global healthcare logistics company has entered a definitive agreement to purchase the national HME provider for $37.50 in cash per share of common stock.
Global healthcare supply and logistics company Owens & Minor Inc. has entered a definitive agreement to purchase national HME provider Apria Inc. for $1.6 billion.
The cash purchase price represents $37.50 per share of common stock, representing an equity value of $1.45 billion. The deal also sees Owens & Minor purchasing all Apria debt and cash for a total transaction value of $1.6 billion.
Owens & Minor, which combines global product manufacturing, distribution, support, technology and services for multiple segments of healthcare, noted in a public statement that the purchase would help it expand its presence in-home healthcare as well the entire care continuum for patients.
“The combination of two complementary businesses in Byram Healthcare and Apria will enable us to better serve the entire patient journey — through the hospital and into the home —– ultimately furthering our mission of Empowering Our Customers to Advance Healthcare,” said Edward Pesicka, president and CEO of Owens & Minor. “In addition, this transaction diversifies our total company revenue stream by expanding our presence in the higher-growth home healthcare market.
“We are impressed by what Apria has built for its customers, and I look forward to welcoming Dan Starck and the Apria team to Owens & Minor upon close,” he added.
“I am energized and enthusiastic to join Owens & Minor,” Apria CEO Dan Starck said. “Both companies share cultures fueled by a commitment to customers, patients, teammates and the communities we serve. We look forward to joining together and delivering the highest quality healthcare solutions to our customers.”
Adding Apria should expand Owens & Minor’s Patient Direct platform to more than 90 percent of insured healthcare customers in the United States, particularly given that Apria’s home respiratory, obstructive sleep apnea, and negative pressure wound therapy portfolio don’t overlap, according to a statement from the company.
The purchase is expected to close during the first half of 2022, pending closing conditions, including the Hart Scott Rodino Act and other regulatory approvals, as well as the approval of Apria’s stockholders,