Healthcare Logistics Service Firm Owens & Minor To Buy Home-Based Care Equipment Firm For $1.4B, Sees Better Than Expected Q2 Earnings
Portfolio Pulse from Vandana Singh
Owens & Minor Inc. (NYSE:OMI) has agreed to acquire Rotech Healthcare Holdings, Inc. for $1.36 billion in cash. The acquisition is expected to enhance Owens & Minor's Patient Direct product offerings and accelerate growth. The company also reported better-than-expected preliminary Q2 2024 financial results, with revenue of $2.65-$2.67 billion and adjusted EPS of $0.32-$0.36. OMI reaffirmed its 2024 revenue outlook of $10.5-$10.9 billion and adjusted EPS of $1.40-$1.70. OMI stock rose 7.38% to $16.44 following the news.
July 23, 2024 | 5:47 pm
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Owens & Minor Inc. (NYSE:OMI) announced the acquisition of Rotech Healthcare Holdings, Inc. for $1.36 billion, expected to enhance its Patient Direct product offerings and accelerate growth. The company also reported better-than-expected preliminary Q2 2024 financial results, with revenue of $2.65-$2.67 billion and adjusted EPS of $0.32-$0.36. OMI reaffirmed its 2024 revenue outlook of $10.5-$10.9 billion and adjusted EPS of $1.40-$1.70. OMI stock rose 7.38% to $16.44 following the news.
The acquisition of Rotech Healthcare is a significant strategic move for Owens & Minor, enhancing its product offerings and growth potential. The better-than-expected Q2 2024 financial results and reaffirmed 2024 outlook further boost investor confidence. The stock's 7.38% rise reflects positive market reaction.
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