CONSHOHOCKEN, PA — Cencora, Inc. (NYSE: COR) has announced a definitive agreement to acquire Retina Consultants of America (RCA) from Webster Equity Partners for approximately $4.6 billion. This move aims to strengthen Cencora’s position in the specialty healthcare sector and expand its management services organization (MSO) solutions.
Bob Mauch, President & CEO of Cencora, emphasized the strategic benefits, stating, “The acquisition of RCA will allow Cencora to broaden our relationships with community providers in a high growth segment and build on our leadership in specialty.” He highlighted RCA’s value proposition for physicians and strong clinical research capabilities as key factors for the acquisition.
RCA, a leading MSO for retina specialists, operates across 23 states with nearly 300 specialists conducting over two million patient visits annually. The acquisition will enhance Cencora’s capabilities in the specialty space, expanding its reach and strengthening relationships with both physicians and manufacturers.
Robby Grabow, CEO of RCA, expressed enthusiasm about joining Cencora, saying, “With additional resources to support the continued execution of our growth strategy, we will be better positioned to continue expanding our physician network and enhancing the quality of care we provide.”
David Brown, MD, Co-Chair of RCA’s Medical Leadership Board, echoed this sentiment, noting, “The ability to become a part of Cencora and its purpose-driven culture, will further advance RCA’s mission of saving sight and improving the lives of our patients and communities we serve through innovation.”
Financially, Cencora will fund the transaction through a mix of existing cash and new debt financing, expecting the acquisition to be approximately $0.35 accretive to its adjusted diluted earnings per share within the first twelve months. The deal includes the potential for up to $500 million in contingent consideration based on achieving specific business objectives.
Cencora will retain 85% ownership in RCA, with RCA’s affiliates maintaining a minority stake. The transaction is subject to customary closing conditions and regulatory approvals.
Cencora’s EVP & CFO Jim Cleary noted, “Cencora is committed to maintaining its strong investment grade credit rating and will prioritize de-leveraging in the years following transaction close.”
This acquisition marks a significant step in Cencora’s growth strategy, promising to enhance patient care and operational efficiency in the evolving healthcare landscape.
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