Cardinal Health Acquires Integrated Oncology Network for $1.1 Bn

ION, which consists of more than 50 oncology practices across ten states, will be integrated into Cardinal Health’s Navista cancer unit, bringing over 100 providers under its umbrella.

USA’s Cardinal Health has announced its acquisition of Integrated Oncology Network (ION) for just over $1.1 billion, a deal that will significantly expand the healthcare giant’s presence in community oncology. 

ION, which consists of more than 50 oncology practices across ten states, will be integrated into Cardinal Health’s Navista cancer unit, bringing over 100 providers under its umbrella.

As part of this acquisition, ION’s practices will gain access to Navista’s AI analytics platform and the PPS Analytics system, which Cardinal Health absorbed through the purchase of Specialty Networks earlier this year.

Strategic Acquisition to Boost Oncology Services

This acquisition is expected to enhance Cardinal Health’s service offerings and strengthen its support for community-based oncology practices. 

Founded in 2008, ION provides a range of practice management services, including revenue cycle management, physician recruitment, and payor relations. These services help oncology centers run efficiently while delivering high-quality care to patients.

"Driving growth in specialty continues to be a top priority, and we've made investments to expand our offerings through Navista and our acquisition of Specialty Networks. With their proven model providing extensive support of community oncology across the cancer care continuum and healthcare ecosystem, we're confident [ION] will further accelerate our oncology strategy and enable us to create value for providers and patients," " said Jason Hollar, CEO of Cardinal Health. 

Once the acquisition is finalized, Cardinal expects the deal to be accretive to its earnings within a year. However, the completion of the transaction is subject to regulatory approval and other customary closing conditions.

Competitive Landscape in Oncology Care

Cardinal Health’s acquisition of ION is part of a larger trend in the healthcare industry: companies are increasingly investing in oncology services. 

Last month, McKesson, another major healthcare service provider, announced a deal to acquire a controlling stake in Florida Cancer Specialists & Research Institute for nearly $2.5 billion. 

Similarly, drug distributor Cencora (formerly AmerisourceBergen) purchased a minority interest in OneOncology earlier this year, valuing the cancer network at $2.1 billion.

Barry Tanner, CEO of ION, highlighted the shared vision between the two organizations. 

"[ION] 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. This partnership will give community practices the tools and technology they need to enhance and grow that mission and positively impact patient outcomes," Tanner said. 

Furthermore, pending regulatory approval, the deal is expected to close within the next year, further consolidating Cardinal Health’s position in the oncology sector.

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