Adds the country's leading gastroenterology (GI) management services organization (MSO) to Cardinal Health's Specialty portfolio supporting over 900 physicians in 345 practices in 20 states
Southlake, Texas, Nov. 11, 2024 (GLOBE NEWSWIRE) -- GI Alliance (GIA) announced today that it has entered into a definitive agreement with Cardinal Health (NYSE: CAH) through which Cardinal Health will acquire a majority stake in GIA, a physician-led, national management services organization supporting independent gastroenterology practices from a combination of GIA physician owners and funds managed by affiliates of Apollo (NYSE: APO). The transaction values GI Alliance at $3.9 billion.
"GI Alliance and Cardinal Health are aligned in our shared vision to build a physician-led, national specialty healthcare platform that will be the preferred choice for patients seeking dependable, high-quality specialty care,” said James Weber, M.D., chief executive officer, GI Alliance. "This partnership brings together two like-minded organizations focused on delivering exceptional care and enhanced support for physicians in independent medical practices.”
GIA partners with over 900 physicians who care for millions of patients in their independent medical practices across more than 345 office locations in 20 states. GIA supports a complete continuum of gastroenterology care furnished by its member practices, with significant depth in anesthesiology, pathology, infusion, radiology and clinical research. GIA-affiliated doctors care for patients in 135 ambulatory surgical centers and 165 hospital networks, supported by 95 infusion centers.
"Reinforcing and expanding our Specialty business has been our top priority,” said Jason Hollar, chief executive officer, Cardinal Health. "By combining GIA's already-scaled MSO and leadership in gastroenterology with our own national scale and industry experience across specialty therapeutic areas, GI Alliance and Cardinal Health together create a meaningful platform that will deliver great results for patients and providers. We are excited to welcome James Weber, M.D. and his team to the Cardinal Health family.”
"We are incredibly proud of the support our Hybrid Value franchise has provided GI Alliance to help the organization and its physicians significantly expand their business over the past two years,” said Jason Scheir, Partner and Co-Head of Hybrid Value at Apollo. "We believe GI Alliance has found a great partner in Cardinal Health to propel the company's continued growth and success.”
Barclays served as financial advisors to GI Alliance and its shareholders on the transaction, and Katten served as its legal counselors.
The transaction is subject to the satisfaction of customary closing conditions, including receipt of required regulatory approvals.
About GI Alliance
GI Alliance is the leading, physician-led, physician-owned network for gastrointestinal care in the United States. GI Alliance supports practice management for over 900 independent gastroenterologists who deliver the highest quality of GI care for patients in 345 practice locations across the country. Partnering with the nation's premier independent GI physician practices, GI Alliance supports operational management, ancillary service development, and patient engagement, enabling practices to focus on providing the highest quality patient care while maintaining clinical autonomy. Offering a full spectrum of services for the management of digestive health, GI Alliance is committed to excellence and innovation in gastroenterology. gialliance.com.
About Cardinal Health
Cardinal Health is a distributor of pharmaceuticals, a global manufacturer and distributor of medical and laboratory products, and a provider of performance and data solutions for healthcare facilities. With more than 50 years in business, operations in more than 30 countries and approximately 48,000 employees globally, Cardinal Health is essential to care. Information about Cardinal Health is available at cardinalhealth.com.
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