Lincare buys up more neb-med business
CLEARWATER, Fla. -- Lincare paid $16 million in cash last week for NationsHealth home respiratory business, which consists mainly of nebulizer medication patients, say industry sources.
NationsHealth will use the money to launch its Medicare Part D business and other strategic initiatives, said CEO Glenn Parker.
NationsHealth provides home delivery of diabetes and ostomy medical products to over 114,000 patients. It is also the provider of diabetes supplies for Medicare beneficiaries to more 1,000 Kmart pharmacies.
With Medicare's recent cuts to respiratory medications, it's not surprising that NationsHealth would exit that product line. Likewise, because many neb-med patients eventually go on oxygen, the deal's a natural for Lincare, say industry sources.
NationsHealth also offers discount prescription cards, accepted at over 50,000 pharmacies nationwide. The company currently has over 3 million cardholders.