Cencora Completes Acquisition of Retina Consultants of America

Cencora has officially completed its acquisition of Retina Consultants of America (RCA), a management services organization (MSO) specializing in retina care, in a deal valued at $4.4 billion. The acquisition strengthens Cencora’s position in the healthcare sector, particularly in specialty services, while delivering new opportunities to enhance value for physicians and patients.

In November 2024, Cencora signed a definitive agreement to acquire Retina Consultants of America.

Financial Details of the Acquisition

According to the press release:

       • Total Cash Outlay: $4.4 billion, which includes transaction fees, expenses, debt repayment, and an equity rollover with Retina Consultants of America.

       • Ownership Stake: Cencora now holds an approximately 85% interest in Retina Consultants of America

       • Post-Closing Adjustments: The $4.4 billion amount is subject to post-closing purchase price adjustments.

Additionally, Cencora has updated its adjusted diluted earnings per share guidance for the fiscal year 2025 to a range of $15.15 to $15.45.

Strategic Impact of the Acquisition

The acquisition is a strategic move for Cencora, enhancing its leadership in the specialty healthcare space. The company highlighted the significance of the acquisition in the press release:

"The acquisition allows Cencora to build on its leadership in specialty, expand its [management services organization] solutions and drive differentiated value for stakeholders, including physicians and patients."

Conclusion

By acquiring a majority stake in Retina Consultants of America, Cencora is poised to further expand its specialty services and management solutions, ultimately benefiting both healthcare providers and patients. This acquisition reflects Cencora’s commitment to innovation and leadership in the healthcare industry.