US drug distributor Cardinal Health to buy Healthcare Solutions for $517 million

Cardinal Health, a Fortune 500 Company and the second-biggest drug distributor in the US, today agreed to buy Healthcare Solutions Holding, a health care management solutions company for at least $517 million.

Cardinal will make an upfront payment of $517 million in cash and $150 million additional payments over the next three years if Healthcare Solutions reaches certain financial targets.

Dublin, Ohio-based Cardinal, currently ranked 17 on the Fortune 500 list, is a $96 billion health care services company that supplies pharmaceuticals and medical products to more than 60,000 locations in the US and Canada each day.

The company is also a leading manufacturer of medical and surgical products, including gloves, surgical apparel and fluid management products. In addition, the company is a supplier of medical products to clinical laboratories and operates the largest network of radio-pharmacies in the US that distribute products that aids early diagnosis and treatment of diseases.

Privately held Healthcare Solutions is the parent company of a number of subsidiaries including P4 Pathways and P4 Healthcare.

It provides comprehensive health care management solutions that help improve the quality of patients' health care outcomes and increase efficiency in the delivery of health care services.