Apria 'Refreshes' its enteral business

Its presence in the market ended in 2013 when it sold Coram
Wednesday, April 20, 2016

LAKE FOREST, Calif. – News that Apria Healthcare is back in the enteral market is no surprise, given the provider’s track record with the product category, say industry stakeholder.

“Apria did a great job with enteral over the years, and did a good job growing it,” said a source. “It makes sense.”

Apria also held several Round 2 competitive bidding contracts for the product category.

Apria’s presence in the enteral market ended when the provider sold its Coram home infusion business—under which the enteral business fell—to CVS Caremark in 2013.

In March, the provider announced it had launched Refresh, a program that provides dieticians who assess the patient’s nutritional risks, assist in the development of care plans and help monitor therapy.

“With our re-entry into the home enteral market, Apria is responding to the rapidly increasing requirements of the healthcare industry for an enteral program that consistently delivers positive patient experiences and achieves optimal clinical outcomes,” said Dan Starck, CEO of Apria Healthcare, in a release. 

Despite the inclusion of enteral nutrition in competitive bidding, the product category remains a desirable one for providers, say M&A analysts.

“It offers recurring revenue and it’s sales versus rentals,” said Bruce Burns, president of Affinity Ventures. “Enteral has been a big push for HME providers and it’s been a pretty aggressive push for any home infusion company.”