Buyer: Owens & Minor
Seller: Mediq Byram
Sector: Medical Supply
Owens & Minor picked up Byram Healthcare Div Of Mediq BV for $380 million
RICHMOND, Va.–(BUSINESS WIRE)–Owens & Minor (NYSE: OMI) announced today that it has signed a definitive purchase agreement to acquire Byram Healthcare (Byram), a wholly owned subsidiary of Mediq B.V., for approximately $380 million in cash. Headquartered in White Plains, New York, Byram is a leading domestic distributor of medical supplies sold directly to patients and home health agencies. The acquisition is expected to contribute approximately $450 million in incremental annual revenue for Owens & Minor. The company expects that the transaction will have limited impact on 2017 earnings and will be modestly accretive in 2018.
Owens & Minor agrees to acquire Byram Healthcare, a leading distributor of medical supplies to home patients.
“Expanding across the continuum of care is a strategic imperative for us,” said P. Cody Phipps, president & chief executive officer of Owens & Minor. “With the addition of Byram to the Owens & Minor family, we can quickly advance our strategic agenda with providers and manufacturers by expanding our reach beyond the hospital setting all the way to the patient’s home. Byram’s expertise in managing third party reimbursement and working with insurers and federal health care programs brings an important new capability to Owens & Minor.”
In operation since 1968, Byram is a market-leading distributor of reimbursable medical supplies to home patients and home health agencies in the United States. Byram has strong positions in its principal product lines of ostomy, wound care, urology, diabetes, and incontinence supplies, which are sold nationwide. Byram has built a portfolio of over 600 payor contracts covering more than 200 million lives, along with a dedicated revenue cycle management infrastructure to support claims filing and collection processes. With more than 900 teammates, Byram has national reach in the direct-to-patient market in the U.S., which it serves with an experienced management team and a sizable customer-facing sales and service team.
The transaction is expected to close in the third quarter of 2017, subject to various closing conditions and regulatory approvals, including Hart Scott Rodino clearance.