Cencora, Inc. is buying a majority of the outstanding equity interests in physician‑led oncology platform OneOncology for an enterprise value of $7.4 billion. The deal will be paid with $3.6 billion in cash and new debt, and will retire $1.3 billion of existing corporate debt, leaving a net cash outlay of roughly $5 billion.
The acquisition is designed to deepen Cencora’s managed‑service‑organization (MSO) capabilities and broaden its reach in the high‑growth specialty oncology market. It complements the company’s recent purchase of Retina Consultants of America, which closed on January 2, 2025, and is intended to strengthen relationships with biopharmaceutical partners while reinforcing Cencora’s leadership in specialty‑drug distribution.
Cencora’s U.S. Healthcare Solutions segment, which drives most of the company’s growth, posted 25% operating‑income growth last year, powered by robust specialty‑drug volumes. The International Healthcare Solutions segment has seen a decline, but the OneOncology acquisition is expected to be neutral to adjusted diluted earnings per share in the first twelve months after closing, with the impact to be incorporated into guidance once the transaction is complete.
Bob Mauch, President and CEO, said the deal “accelerates our acquisition of OneOncology, advancing our MSO strategy and aligning with our growth‑oriented investment philosophy.” OneOncology CEO Jeff Patton added that the partnership will “leverage Cencora’s expertise while preserving the independence of the practices, creating value for patients and providers.”
Analysts have responded to the announcement by raising price targets for Cencora to the $400–$415 range, reflecting confidence in the company’s strategic pivot to oncology services and the expected synergies from the OneOncology platform.
The transaction is expected to close by the end of Cencora’s fiscal 2026 second quarter.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.