About This Deal

AdaptHealth Corp. acquired Solara Medical Supplies, LLC for $380.7 million cash plus 3,906,250 shares of Class A common stock (Solara and ActivStyle closed together for combined consideration of ~$487 million — ~$424.5 million cash and ~$62.5 million stock), a transaction completed in July 2020, structured as combination (cash and stock).

Solara Medical Supplies, LLC operates in Diabetes management / continuous glucose monitors (CGM), is based in United States (national). Solara was one of the largest independent direct-to-patient distributors of continuous glucose monitors (CGM) in the United States, offering a comprehensive suite of direct-to-patient diabetes management supplies including CGMs, insulin pumps and other diabetic supplies. The acquisition established AdaptHealth as a leader in the high-growth diabetes market and expanded its recurring direct-to-patient supply revenue.

AdaptHealth described Solara and ActivStyle as highly strategic, complementary and accretive acquisitions; Solara was expected to immediately establish AdaptHealth as a leader in the high-growth diabetes market and advance its goal of offering high-value services to people with chronic conditions in their homes.

Established AdaptHealth as a leader in the high-growth diabetes market with recurring direct-to-patient supply sales. Created a single supply source for an expanded set of chronic-care products; Solara CEO Steve Foreman and management team joined AdaptHealth. Solara (continued to operate under its own name)

Deal Terms

Acquirer
AdaptHealth Corp.
Target
Solara Medical Supplies, LLC
Value
$380.7 million cash plus 3,906,250 shares of Class A common stock (Solara and ActivStyle closed together for combined consideration of ~$487 million — ~$424.5 million cash and ~$62.5 million stock)
Date
July 2020
Type
Full acquisition
Status
Ready

Transaction Details

Target HQ
United States (national)
Segment
Diabetes management / continuous glucose monitors (CGM)
Structure
Combination (cash and stock)
Closed
July 1, 2020
Synergies
Created a single supply source for an expanded set of chronic-care products; Solara CEO Steve Foreman and management team joined AdaptHealth.

In Their Words

These are highly strategic, complementary and accretive acquisitions. We believe Solara will immediately establish AdaptHealth as a leader in the high-growth diabetes market and advances our goal to offer high-value services to people with chronic conditions in their homes.Luke McGee, CEO, AdaptHealth

Advisors

Advisory firms were not disclosed for this transaction.

Related Deals & Entities

Sources: Press release ↗ · SEC filing ↗

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