Why This Matters to Distributors: The acquisitions reflect continued consolidation in healthcare distribution as companies expand into direct-to-patient delivery and home-based care. The deals strengthen Cardinal Health’s position in high-growth therapeutic categories while highlighting the increasing importance of specialized distribution services beyond traditional wholesale.
Cardinal Health has agreed to acquire two home healthcare supply businesses for approximately $360 million in cash, expanding its at-home distribution business in diabetes management and urology.
The company has entered into definitive agreements to acquire the Diabetes Health business of AdaptHealth Corp. and Strive Medical, a provider of home medical supplies specializing in urology, wound care, ostomy, and incontinence products.
The combined purchase price is approximately $360 million, subject to customary working capital adjustments. The transactions are expected to close after receiving regulatory approvals and satisfying other customary closing conditions.
The acquisitions build on Cardinal Health’s expansion of its at-Home Solutions business following its acquisition of Advanced Diabetes Supply in 2025.
“These strategic transactions build on the synergies created by our recent investments in home care,” CEO Jason Hollar said. “They expand our enterprise-wide depth and breadth across important therapeutic categories like diabetes management and urology.”
The Diabetes Health business serves more than 225,000 patients annually through a centralized, direct-to-patient distribution model that supplies products such as continuous glucose monitors and other diabetes management products.
Strive Medical serves more than 20,000 patients annually and provides home medical supplies focused on urology, wound care, ostomy, and incontinence. Cardinal Health said the acquisition expands its capabilities in those therapeutic categories while increasing its direct-to-patient distribution business.
The company said both acquisitions build on the integration of Advanced Diabetes Supply into its at-Home Solutions network over the past year.
Since completing that acquisition, Cardinal Health said it has migrated all Advanced Diabetes Supply volume to its distribution network, added 500,000 customers and launched ContinuCare Pathway, a digital referral platform that connects pharmacies with home medical suppliers.
Cardinal Health expects the acquisitions to be accretive to non-GAAP earnings per share within the first 12 months after closing.
The transactions reflect broader consolidation across healthcare distribution as companies invest in home-based care and direct-to-patient fulfillment. Demand for home healthcare products has grown as providers and insurers increasingly shift chronic disease management and other treatments away from hospitals and clinical settings.
For distributors, the deals also illustrate the growing importance of specialized distribution capabilities, including reimbursement management, direct patient fulfillment, and digital referral systems, as healthcare distribution continues to evolve beyond traditional wholesale models.
Cardinal Health is one of the nation’s largest healthcare distributors, supplying pharmaceuticals, medical products and laboratory products to hospitals, pharmacies, physician practices, and other healthcare providers. The company also operates a direct-to-patient home healthcare business, nuclear pharmacies, and medical product manufacturing operations.
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