Conshohocken, Pennsylvania, USA | July 20, 2026
AdaptHealth Corp. has entered into a definitive agreement to sell its Diabetes Health business to Cardinal Health for $235 million in cash, marking a major strategic milestone in the company’s ongoing portfolio transformation. Under the agreement, signed on July 19, 2026, the transaction remains subject to regulatory review under the Hart-Scott-Rodino Antitrust Improvements Act and customary closing conditions. The divestiture represents the most significant step in AdaptHealth’s multi-year strategy to streamline operations and concentrate resources on its core Sleep Health, Respiratory Health, and Wellness at Home businesses. By exiting the diabetes medical supplies market, the company expects to improve its long-term revenue growth profile, strengthen adjusted EBITDA margins, enhance capital flexibility, and accelerate debt reduction, positioning the business for sustainable growth in its core home healthcare markets.
Strategic Portfolio Simplification Supports Long-Term Growth
The sale reflects AdaptHealth’s continued effort to focus on healthcare services where it delivers the greatest clinical value directly in patients’ homes. According to Chief Executive Officer Suzanne Foster, the company has spent the past several years systematically reshaping its portfolio around sleep therapy, respiratory care, and home medical equipment, areas where it maintains strong competitive advantages and significant growth opportunities. The proceeds from the transaction will provide additional financial flexibility to reinvest in core operations, strengthen the company’s balance sheet, and continue reducing leverage. AdaptHealth believes that concentrating on its highest-performing business segments will improve operational efficiency while allowing greater investment in technologies and services supporting patients with chronic respiratory conditions, sleep disorders, and other home healthcare needs.
Cardinal Health Expands Diabetes Care Capabilities
For Cardinal Health, the acquisition strengthens its position in the rapidly growing diabetes care market, adding a business specializing in the direct-to-patient distribution of continuous glucose monitors (CGMs), insulin pumps, and related diabetes medical supplies. AdaptHealth stated that Cardinal Health’s national scale, distribution infrastructure, and operational capabilities make it well positioned to expand the Diabetes Health business and enhance patient access to essential diabetes management products. The transaction enables continuity of care for patients while placing the diabetes platform within an organization with significant expertise in healthcare logistics, supply chain management, and medical product distribution. Financial advisors supporting the transaction include Deutsche Bank Securities for AdaptHealth and J.P. Morgan Securities for Cardinal Health, with multiple legal advisors representing both parties throughout the acquisition process.
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AdaptHealth Reinforces Leadership in Home Healthcare
Following completion of the transaction, AdaptHealth will continue operating through its three primary business segments: Sleep Health, Respiratory Health, and Wellness at Home, providing home medical equipment, oxygen therapy, home mechanical ventilation, CPAP and BiLevel therapy, durable medical equipment, and related clinical services. The company currently serves approximately 4.5 million patients annually across all 50 U.S. states through a nationwide network of approximately 670 locations in 48 states, supported by referral relationships with hospitals, sleep laboratories, pulmonologists, skilled nursing facilities, and healthcare providers. AdaptHealth expects to provide additional financial details regarding the transaction, including the classification of the Diabetes Health business as discontinued operations, during its second-quarter 2026 earnings call on August 4, 2026. The divestiture underscores the company’s commitment to building a more focused, financially stronger organization dedicated to expanding its leadership in patient-centered home healthcare services.
Source: AdaptHealth press release
