Cardinal Health to Extend Reach by Acquiring Solaris Health

Core Insights - Cardinal Health's multi-specialty management services organization (MSO), The Specialty Alliance, is set to acquire urology MSO Solaris Health, enhancing its capabilities in the urology sector [1][3] - The acquisition will be financed by Cardinal Health providing approximately $1.9 billion in cash, resulting in Cardinal Health owning about 75% of The Specialty Alliance post-acquisition [2] - The transaction is anticipated to close by the end of the year [2] Company Expansion - The acquisition of Solaris Health will expand The Specialty Alliance's reach, building on previous acquisitions including Urology America, Potomac Urology, and Academic Urology & Urogynecology [3] - Solaris Health currently supports over 750 providers across 250 practice locations in 14 states, which will increase Cardinal Health's MSO platforms to approximately 3,000 providers in 32 states [3] Strategic Focus - Cardinal Health's CEO emphasized that accelerating specialty growth is a top priority, particularly in the urology specialty, which is viewed as attractive for the company [4] - The partnership with Solaris Health aims to enhance patient-centered care through a physician-led national platform, optimizing care delivery and improving patient access to specialized services [4] Financial Performance - Cardinal Health reported fourth quarter revenues of $60.2 billion, which remained relatively flat year over year, while fiscal year 2025 revenues were reported at $222.6 billion, reflecting a 2% decline from the previous fiscal year [5] - The company previously announced its GI Alliance MSO platform's agreements to acquire Urology America and Potomac Urology, furthering its strategy to support physician-led practices and improve patient outcomes [6]