Why Home Healthcare Equipment Provider Apria Shares Are Soaring Premarket Today?

Owens & Minor Inc OMI has agreed to acquire Apria Inc APR for $37.50 in cash per share of common stock, representing an equity value of approximately $1.45 billion.

• Apria is a provider of integrated home healthcare equipment and related services in the US.
• The deal strengthens the total value proposition and positions Owens & Minor as a leader in the home healthcare market. 
• The transaction builds upon Owens & Minor's strong product manufacturing and healthcare services capabilities.
• The transaction is accretive to revenue, adjusted EBITDA, adjusted EPS, and enhances OMI's free cash flow generation.
• Broadens OMI's Patient Direct product portfolio by combining OMI's diabetes, ostomy, incontinence, and wound care with Apria's product portfolio strength in-home respiratory, obstructive sleep apnea, and negative pressure wound therapy. 
• Creates a platform for future growth within highly fragmented and growing space, with an approximate $50 billion total addressable market.
• The price per share represents a 26% and 24% premium over Apria's closing share price on January 7, 2022, and a 30-day volume-weighted average price, respectively.
• The transaction is expected to close during 1H of 2022.
• Price Action: APR shares are up 24.2% at $36.90 during the premarket session on the last check Monday. OMI stock closed at $45.08 on Friday.