Home-health provider Apria Healthcare, Lake Forest, Calif., has signed an agreement to acquire Coram, a Denver-based provider of home-infusion and specialty-pharmaceutical distribution services, for $350 million in cash. Apria said that it expects the dealstill subject to regulatory approvals and customary closing conditionsto close as early as mid-November. The move would expand Aprias home-infusion presence and also allow the company to enter the specialty pharmaceutical market.
The transaction supports our strategy of diversifying our service offering by adding and expanding complementary product lines that fit well with our core competencies, Lawrence Higby, Aprias chief executive officer, said in a joint news release from both companies.
Coram provides a variety of home-infusion therapies through a network of more than 70 home-infusion branches nationwide and 50 company-owned and operated ambulatory-infusion suites. John Arlotta, the companys chairman, president and CEO will continue to lead operations with Corams management team after the deal closes. Apria said it expects Coram to generate about $500 million of revenue in 2008, and that it estimates the deal will be accretive to 2009 net after-tax earnings by about $5 million to $6 million. Apria provides home respiratory therapy, home infusion therapy and home medical equipment through about 500 U.S. locations. -- by Jessica Zigmond
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