We are advising McKesson on the transaction

Davis Polk is advising McKesson Corporation on its approximately $1.4 billion investment in Option Care Health, Inc. in connection with the approximately $5.8 billion acquisition of Option Care Health by McKesson and CD&R. At closing, CD&R will hold an approximately 51% majority interest in Option Care Health and McKesson will hold an approximately 49% minority interest. The agreement also establishes a framework for McKesson’s future acquisition of CD&R’s interest in Option Care Health. The transaction is expected to close in the first half of 2027, subject to customary closing conditions and regulatory approvals.

McKesson is a diversified healthcare services leader dedicated to advancing health outcomes for patients everywhere. McKesson’s teams partner with biopharma companies, care providers, pharmacies, manufacturers, governments and others to deliver insights, products and services to help make quality care more accessible and affordable.

Option Care Health is the largest independent provider of home and alternate site infusion services in the United States. With over 8,000 team members, including more than 5,000 clinicians, the company works to elevate standards of care for patients with acute and chronic conditions in all 50 states. Through its clinical leadership, expertise and national scale, Option Care Health is reimagining the infusion care experience for patients, customers and team members.

CD&R is a leading private investment firm with a strategy of generating strong investment returns by building more robust and sustainable businesses through the combination of skilled investment experience and deep operating capabilities. The firm invests in businesses across a broad range of industries, including industrial, healthcare, consumer, technology and financial services.

The Davis Polk corporate team includes partners Alan F. Denenberg, Michael Diz and Jason Bassetti and associates Dove Barbanel and Ashley Jaworoski. Partner Hilary Dengel and associate K. Oliver H. Schauman are providing sponsor finance advice. Partner Patrick E. Sigmon is providing tax advice. Partner Frank Azzopardi is providing intellectual property advice. Partner Adam Kaminsky is providing executive compensation advice. Counsel Suzanne Munck af Rosenschold is providing antitrust and competition advice. Members of the Davis Polk team are based in the Northern California, New York and Washington DC offices.

Copy link to share post