Cardinal Health (NYSE: CAH) has agreed to acquire Integrated Oncology Network (ION), a physician-led independent community oncology network, for $1.115 billion in cash.
Founded in 2008, ION includes more than 50 practice sites in 10 states representing more than 100 providers. ION supports a continuum of care across its member sites including medical oncology, radiation oncology, urology, diagnostic testing and other ancillary services.
Dublin, Ohio-based 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.
As part of the transaction ION practices will become members of Navista, Cardinal Health's oncology practice alliance, and ION practice management and practice growth services will become part of Navista's advanced services and technology offering. ION practices will also have access to Navista's analytics capabilities that leverage artificial intelligence as well as expertise from Specialty Networks' PPS Analytics and SoNaR technology solutions to generate actionable clinical and business insights.
"Driving growth in specialty continues to be a top priority, and we've made investments to expand our offerings through both Navista and our acquisition of Specialty Networks," said Jason Hollar, CEO of Cardinal Health, in a statement. "With their proven model providing extensive support of community oncology across the cancer care continuum and healthcare ecosystem, we're confident Integrated Oncology Network will further accelerate our oncology strategy and enable us to create value for providers and patients."
"Integrated Oncology Network and Cardinal Health share a mission of helping community oncology practices deliver world-class patient care and a world-class patient experience to patients and families close to home," said Barry Tanner, CEO of Integrated Oncology Network, in a statement. "This partnership will give community practices the tools and technology they need to enhance and grow that mission and make a positive impact on patient outcomes."
"By joining forces, Integrated Oncology Network and Cardinal Health are making an exciting commitment to community oncology and, most importantly, to the patients we serve across the country," said Jedidiah Monson, M.D., founding partner and president of ION member practice California Cancer Associates for Research & Excellence (cCARE), in a statement. "By joining Navista, cCARE can access the advanced services and technology we need to remain focused on providing high-quality, lower-cost patient-centered cancer care while staying independent—for the good of our patients, our practices and our communities."
This transaction is subject to regulatory approvals. Cardinal said the transaction is expected to be accretive to non-GAAP earnings per share after 12 months following close.