McKesson, CD&R to buy Option Care for 37% premium

NEW YORK and IRVING, Texas – McKesson and CD&R will acquire Option Care Health for $32.05 per share, reflecting a total enterprise value of $5.8 billion. CD&R will hold a majority stake, and McKesson will hold a minority stake.

The transaction value represents a premium of about 37% to Option Care Health’s closing share price on Oct. 5, 2026, the last full trading day of the company’s common stock prior to the announcement.

In line with McKesson’s strategic objectives

The transaction, McKesson says, aligns with its strategic objectives:

• Positioned for growth in specialty care. Continued innovation in specialty, rare and orphan therapies and the increasing need for alternate infusion services represent an attractive long-term growth opportunity to support community providers, health systems, payers, and biopharma companies. Through this investment, McKesson will support the delivery of complex specialty therapies across multiple care settings.
• Expanded patient access through community-based care. Option Care Health’s home and ambulatory infusion capabilities help patients access complex therapies outside traditional care settings, aligning with McKesson’s focus to allow accessible and affordable high-quality care to patients.

“This investment represents an important opportunity that aligns with McKesson’s long-term strategy to expand access and affordability to innovative therapies across the care continuum,” said Brian Tyler, chair and CEO of McKesson. “As these therapies continue to grow in importance and their delivery becomes increasingly complex, McKesson is focused on investing in areas where our capabilities can help improve access and advance care in lower-cost community settings, at or closer to home.”

An ‘empowered’ Option Care Health

Option Care will remain a separate company led by its own management team.

The company says the transaction not only provides immediate cash value for stockholders but also enables it to continue enhancing its platform and deepening its partnerships with hospitals and health systems, physicians, payers and biopharma manufacturers.

“We are thrilled to have the support of CD&R and McKesson, empowering us to continue investing strategically and accelerate the pace of our advanced technology deployment to improve clinical outcomes and reduce the total cost of care,” said John Rademacher, CEO of Option Care Health. “Both firms understand our business and the health care industry, and have proven track records of fostering growth for some of the largest and fastest-growing healthcare service businesses globally.”

Deal in detail

Under the definitive agreement, CD&R will hold a majority interest of approximately 51% in Option Care Health and McKesson will invest approximately $1.4 billion for a minority interest of approximately 49%. The transaction also establishes a framework for McKesson’s future acquisition of CD&R’s interest in Option Care Health, subject to specified conditions and regulatory approvals.

The transaction is expected to close in the first half of calendar year 2027, subject to customary closing conditions, including approval by Option Care Health’s stockholders and the receipt of required regulatory approvals.

Related reading:

• In June 2024, Option Care Health terminated its $3.6 billion merger with Amedisys.
• Earlier this year, McKesson announced plans to spin off its Medical-Surgical Solutions segment to focus on high-growth oncology, biopharma markets.