Drug distributor Cencora plans to buy American Oncology Network, which takes it further into physician practice management. Analysts see the deal as a continuation of Cencora’s current strategy, not a pivot.
Conshohocken, Pa.-based Cencora announced the definitive agreement Oct. 21. Here are six things to know:
1. The deal gives Fort Myers, Fla.-based AON an enterprise value of $2.4 billion. That includes $2.3 billion at closing plus up to $100 million in contingent value rights, which Cencora pays if certain conditions are met. Cencora already owns about 4% of AON. If eligible AON stockholders roll over up to 25% of their equity, Cencora expects to pay about $1.7 billion to reach 75% ownership. AON’s board approved the deal after a special committee of independent directors unanimously recommended it.
2. AON was founded in 2018. It is a physician-led management services organization with more than 350 oncology providers across 21 states. It supports independent practices with practice management, technology and ancillary services. AON will join Cencora’s MSO platform and add 12 states to its footprint. AON physicians keep control of clinical decisions.
3. Cencora has invested in AON since 2020 and is its distribution partner. AON went public in 2023 through a merger with a special purpose acquisition company. It voluntarily delisted from Nasdaq in June 2024, citing thin trading, limited analyst coverage and the cost of public reporting. It now trades on the OTCQX. AON had more than 240 providers when it delisted.
4. Investment experts said AON’s focus on smaller providers complements OneOncology, which focuses on larger practices. Cencora agreed in December 2025 to take majority control of OneOncology in a $5 billion deal.
5. Cencora CEO Robert Mauch said the deal “will expand our physician-led oncology MSO and support of care in communities across the country.” AON CEO Todd Schonherz said Cencora understands AON’s mission “as an investor in AON since 2020 and a leader in oncology.”
6. Distributors keep buying physician groups. Cardinal Health agreed in September 2024 to acquire Integrated Oncology Network for $1.12 billion. It also bought a majority stake in GI Alliance for $2.8 billion. McKesson paid $2.49 billion for a controlling interest in Core Ventures, the MSO for Florida Cancer Specialists & Research Institute. Cencora agreed in March to buy EyeSouth Partners’ retina business for $1.1 billion. That followed its $4.4 billion acquisition of an 85% stake in Retina Consultants of America, completed in January 2025.
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