Option Care Health surges on report of $5 billion deal with McKesson and CD&R
Shares of Option Care Health soared 22% in extended trading following a report by the Financial Times that McKesson and Clayton, Dubilier & Rice are nearing a deal to buy the company for more than $5 billion.
45 in extended trading after a Financial Times report said Healthcare group McKesson and private equity firm Clayton Dubilier & Rice are closing in on a deal to buy OPCH. The report said the business is being valued at more than $5 billion including debt. It added a deal could be reached as soon as Tuesday, but said it has not been formally agreed and discussions could still fall apart, citing people familiar with the matter. According to the FT, CD&R would own a 51% stake in Option Care, while McKesson would own 49%.
The people said McKesson would have the right to buy the buyout firm's stake in the future. McKesson, CD&R and Option Care did not immediately respond to Reuters' requests for comment. 65% year to date.