Cardinal Health ‘really keen’ on diabetes market 

DUBLIN, Ohio – Cardinal Health’s planned acquisition of Advanced Diabetes Supply Group for $1.1 billion marries its logistics and distribution capabilities with a powerhouse in patient acquisition to better capture the growing diabetes market, says Rob Schlissberg. 

ADSG, which is comprised of Advanced Diabetes Supply and United States Medical Supply (US Med), has more than 500,000 patients, with a focus on high-tech treatments for diabetes like insulin pumps and continuous glucose monitors. It will join Cardinal Health’s at-Home Solutions business, which serves more than 5 million patients annually.  

“We are really keen on the diabetes market, not just for us but for our population, so it has been a strategic area for us and something that we have continued to try to focus on,” said Schlissberg, president of Cardinal Health at-Home Solutions. 

In a slide deck for investors, Cardinal Health pointed out that diabetes is one of the fastest growing chronic diseases, with nearly 1.2 million Americans diagnosed each year. It says CGM, the standard of care, has a market growth rate of about 10% CAGR. 

Cardinal Health believes ADSG, with the capabilities it has brought to the market, is the right fit to expand its presence in diabetes. Most recently, for example, ADSG partnered with StrideMD to offer select members with Type 2 diabetes access to a full suite of remote patient monitoring and virtual care support services from a team of endocrinologists, certified diabetes educators and other medical professionals.  

“When you combine those with some of the innovations that we've done on our own, we believe it's a winning combination,” Schlissberg said.  

ADSG believes, with the support of Cardinal Health at-Home Solutions, which ships about 20 million packages annually from 11 distribution centers dedicated to direct-to-patient fulfillment, it can further push the boundaries on patient care, says Bill Mixon, who became CEO of ADSG in 2023. 

“Cardinal has unbelievable capabilities around logistics and shipping,” he said. “We will be able to better serve patients, and work with health care providers and payers to create a better and more seamless experience for all stakeholders.” 

Decisions on what ADSG might look like as part of Cardinal Health at-Home Solutions have yet to be determined, but Mixon and his team will be a “critical part” of making those decisions, Schlissberg says. 

“We fully understand the brand equity that ADS, as well as US Med, have in the marketplace,” he said.