The Option Care Health acquisition would take the infusion-services provider private in a $5.8 billion transaction led by CD&R and McKesson. The parties signed the agreement on October 5 and announced it on October 6, establishing the event and disclosure dates separately.

Option Care Health acquisition sets a $32.05 cash price

Option Care disclosed the terms in an SEC Form 8-K. Each eligible share would be cancelled and converted into the right to receive $32.05 in cash without interest.

The company said the price represented a 37% premium to its October 5 closing price. The implied enterprise value is approximately $5.8 billion, according to the parties’ announcement.

Option Care’s board unanimously approved the merger and recommended shareholder adoption. The transaction remains proposed, so the cash consideration is not payable unless the deal closes.

Ownership and financing define the transaction

The joint press release says CD&R would hold a controlling 51% interest. McKesson would invest approximately $1.4 billion for the remaining 49% minority stake.

The SEC filing identifies about $2.87 billion in aggregate equity commitments from CD&R Fund XII and McKesson. Lenders also committed up to $3.15 billion in debt financing and up to $500 million in revolving credit.

Closing is not conditioned on the buyer receiving that financing, according to the merger agreement summary. Fusion Market News’ balance sheet explainer provides context for debt and equity funding structures.

Option Care Health acquisition still needs approvals

The Option Care Health acquisition requires approval from holders of a majority of outstanding shares. It also needs antitrust clearance, healthcare regulatory approvals and the absence of a legal prohibition.

The parties expect closing during the first half of 2027, while the contractual termination date is October 5, 2027. If completed, Option Care shares would stop trading on Nasdaq and the company would remain separately managed.

The agreement sets a $145.96 million company termination fee for specified circumstances and a $291.93 million parent termination fee for certain buyer failures. Fusion Market News’ free cash flow guide and Viatris-Pacira coverage offer additional transaction context.

The current milestone is a signed agreement rather than a completed acquisition. Investors should monitor the proxy filing, shareholder vote, regulatory reviews and any revisions to the expected closing timetable.

Featured image: hospital infusion photograph by Stephen Andrews via Unsplash.

Elsy Kanana is a financial and cryptocurrency journalist at FusionMarketNews, covering digital assets, blockchain technology, financial markets, and emerging fintech trends. Her reporting focuses on market movements, regulatory developments, and on-chain analytics, delivering clear, data-driven insights to readers worldwide.