Cardinal Health has agreed to acquire AdaptHealth’s Diabetes Health business and Strive Medical in two transactions totaling approximately $360 million in cash. The purchase prices remain subject to customary working capital adjustments.
The acquisitions are intended to expand Cardinal Health’s at-Home Solutions business across diabetes management, urology, wound care, ostomy and incontinence supplies. Both transactions are structured as tuck-in acquisitions, meaning the businesses will be added to Cardinal Health’s existing home-care platform to extend its capabilities and customer reach.
AdaptHealth’s Diabetes Health business serves more than 225,000 patients annually. It operates primarily through a centralized, mail-order model that delivers products such as continuous glucose monitors directly to patients managing diabetes.
Strive Medical serves more than 20,000 patients each year and specializes in urology, wound care, ostomy and incontinence supplies. Cardinal Health is acquiring the entire company from NMS Capital.
Strive manages insurance billing for Medicare, Medicaid and more than 5,000 private insurance plans. Its direct-to-patient model is designed to simplify access to recurring medical supplies for patients and healthcare providers.
The acquisitions build on Cardinal Health’s purchase of Advanced Diabetes Supply, commonly known as ADS. Cardinal Health said it has already migrated all ADS volume onto its technology-enabled distribution network and added nearly 500,000 customers since completing that transaction.
The company has also launched ContinuCare Pathway, a digital referral program connecting pharmacies with home medical supply providers. The platform is intended to make it easier for patients to move from a prescription or pharmacy interaction to receiving necessary supplies at home.
Cardinal Health expects the new businesses to benefit from its distribution infrastructure, purchasing scale and existing relationships across healthcare. The company also expects the transactions to broaden the number of therapeutic categories supported by its at-Home Solutions division.
Both acquisitions are subject to customary closing conditions, including required regulatory approvals. Cardinal Health expects each transaction to be accretive to non-GAAP earnings per share during the first 12 months following completion.
J.P. Morgan Securities served as Cardinal Health’s financial adviser on both transactions. Skadden, Arps, Slate, Meagher & Flom and DLA Piper advised Cardinal Health on the AdaptHealth transaction, while BakerHostetler and DLA Piper advised on the Strive Medical acquisition.
KEY QUOTES:
“These strategic transactions build on the synergies created by our recent investments in home care. As a natural extension of our at-Home Solutions growth strategy, they expand our enterprise-wide depth and breadth across important therapeutic categories like diabetes management and urology, further strengthening our leadership in a highly dynamic industry.”
Jason Hollar, CEO of Cardinal Health
“Our significant operational achievements in FY26 position us to continue building the country’s leading platform to deliver simplified, innovative and high-quality care in the home, both organically and through acquisition.”
Rob Schlissberg, President of Cardinal Health at-Home Solutions
