Owens & Minor, Inc. has “entered into a definitive agreement to acquire Rotech Healthcare Holdings, Inc. (‘Rotech’), a privately held home based care business headquartered in Orlando, Florida, for $1.36 billion in cash.” BusinessWire has the news.

Rotech is a provider of “home medical equipment” in the U.S. They provide products and services in 46 states and generated approximately $750 million of revenue in 2023.

Owens & Minor has hope that the acquisition will “strengthen Patient Direct product offerings…across a complementary portfolio including Respiratory, Sleep Apnea, Diabetes, [and] Wound Care.” It also allows the company to accelerate the growth path for their Patient Direct segment.

Edward A. Pesicka, president and chief executive officer of Owens & Minor, says that Rotech “squarely fits into [their] existing Patient Direct segment” and supports their expansion “in the very large and fast-growing home-based care space.”