McKesson completes acquisition of Medical Specialties Distributors

Medical Specialties Distributors (MSD), a distributor of infusion and medical-surgical supplies, has been acquired by McKesson in a deal valued at $800 million. McKesson is focusing on multiple growth pillars as well as a comprehensive review of the company's operations and cost structure.

Medical Specialties Distributors (MSD), a distributor of infusion and medical-surgical supplies, has been acquired by McKesson in a deal valued at $800 million. McKesson is focusing on multiple growth pillars as well as a comprehensive review of the company's operations and cost structure. The acquisition of MSD supports two of the company's strategic growth pillars—manufacturer services and specialty—and complements its existing low-cost site of care infusion platform. MSD's established offering to providers in the home infusion market, as well as technology and services to support customers and patients using these products, will allow McKesson to provide incremental services to other customer segments, according to the company. "This acquisition complements our alternate-site service platform and, in combination with strong organic performance, is expected to deliver revenue growth in the low double-digit range for fiscal 2019," said John Hammergren, McKesson chairman and chief CEO.