BioScrip Enters into Agreement to Acquire HomeChoice Partners


ELMSFORD, NY—BioScrip  announced that it has entered into a definitive agreement to acquire HomeChoice Partners (“HomeChoice”), for $70 million in cash. HomeChoice is a majority-owned subsidiary of DaVita HealthCare Partners. The purchase price is subject to adjustment pursuant to the terms of the agreement including potential additional consideration based on the results of operations. BioScrip also expects to realize the value of a future tax benefit estimated at $3.9 million as a result of the transaction.

Headquartered in Norfolk, Va., HomeChoice generates approximately $70 million in annual revenue, services approximately 15,000 patients annually, and has 14 infusion pharmacy locations in Pennsylvania, Washington, DC, Maryland, Virginia, North Carolina, South Carolina, Georgia, Missouri, and Alabama.

“We are pleased to have the HomeChoice team join our organization. HomeChoice is a highly-regarded infusion services company with a reputation for clinical excellence, strong referral and payor relationships and superior customer service. This transaction is also consistent with our stated goal of building our infusion business through strategic and opportunistic acquisitions, which meet our financial criteria and enable us to expand our national footprint,” stated Rick Smith, president and chief executive officer of BioScrip.

The transaction is subject to customary closing conditions, including regulatory approval. The company expects the transaction will close in the first quarter of 2013.


HomeChoice is expected to generate approximately $70 million in annual revenue. Once fully integrated, this business should generate Adjusted EBITDA margins between 12 and 14 percent. The company estimates that an acquisition of this size can take nine to 12 months to fully integrate.
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