Cardinal Health to acquire $2.8B majority stake in GI Alliance

Dallas-based GI Alliance has entered a definitive agreement with Dublin, Ohio-based pharmaceutical distributor and healthcare services company Cardinal Health in which Cardinal will acquire a majority stake in GI Alliance, The Economic Times reported Nov. 12.

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According to the report, Cardinal Health would take over a 71% stake valued at $2.8 billion from a combination of physician owners and funds managed by affiliates of Apollo Global Management.

The acquisition marks Cardinal Health’s first venture into gastroenterology. The company also acquired diabetes medicine supplier Advanced Diabetes Supply Group for $1.1 billion from private equity firm Court Square Capital Partners, expanding its at-home health solutions business.

The $3.9 billion total deal adds to a series of acquisitions by Cardinal this year that have diversified its services beyond pharmaceuticals.

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