Owens & Minor explores sales of Products & Healthcare Services division

RICHMOND, Va.– Owens & Minor is looking to sell off its Products & Healthcare Services business, while it remains “bullish” on its Patient Direct business. 

The company made the announcement today, as part of its fourth quarter and full-year 2024 earnings results. 

“Our commitment to directing capital toward the higher growth and higher margin Patient Direct segment has been increasingly evident in recent years and is consistent with our strategy,” said CEO Edward Pesicka. “As a logical next step, we have been actively engaged in robust discussions regarding the potential sale of our Products & Healthcare Services segment.” 

The company posted total revenue of nearly $2.7 billion for the fourth quarter and $10.7 billion for the full year. Of that, Patient Direct accounted for $695 million for the fourth quarter and $2.68 billion for the full year 2024. 

“Within Patient Direct, we continue to leverage our footprint and broad product offering to support home-based care for millions of patients with chronic conditions,” said Pesicka. “These capabilities, combined with positive demographic trends and expanding home treatment options, leaves us very bullish on the future of this business.” 

In February, Owens & Minor said it is raising additional debt “while capital markets are attractive” to finance its acquisition of Rotech Healthcare, and said the company still expects to close on the acquisition in the first half of 2025.  

The deal was first announced in July 2024, with the company saying it planned to acquire Rotech for $1.36 billion in cash. 

Related: Owens & Minor provided an earnings preview Feb. 3. 

Related: Company talks product play, synergy drivers with Rotech acquisition.