Cardinal Health
Encyclopedia
Cardinal Health, Inc., is a Fortune 500
health care services company based in Dublin, Ohio
. Cardinal Health specializes in health care supply chain services, providing pharmaceuticals and medical products to more than 40,000 locations each day. The company is also a manufacturer of medical and surgical products, including gloves, surgical apparel and fluid management products. In addition, the company supports the growing diagnostic industry by supplying medical products to clinical laboratories and operating the nation’s largest network of radiopharmacies that dispense products to aid in the early diagnosis and treatment of disease.
, it was initially a food wholesale
r. Acquiring the Bailey Drug Company in 1979, it began wholesaling drugs as Cardinal Distribution, Incorporated. Following the introduction of the company on the NASDAQ
stock exchange in 1983 it commenced on a long string of acquisition
s and mergers. It is now traded on the NYSE under symbol (CAH http://finance.google.com/finance?q=CAH). As of April, 2010, it was ranked 17th on the Fortune 500
list with 2009 annual revenue of over $99 billion. Cardinal employs more than 30,000 people worldwide.
In 1995, Medicine Shoppe International (St. Louis, est. 1970), the country’s largest franchise of retail pharmacies, was acquired. The merger represents the first non-distribution acquisition by Cardinal Health.
In 1997, in competition between Cardinal Health and McKesson Corporation, Cardinal Health had planned to purchase Bergen, to which McKesson responded with a bid to purchase Amerisource. Instead, Amerisource and Bergen merged into AmerisourceBergen
.
In 1999, Cardinal acquired the Chicago-based medical products manufacturer and distributor, Allegiance Healthcare—formerly a division of Baxter Healthcare. Among its proprietary products, Allegiance made surgical drapes, gloves, and gowns; Allegiance also distributed customized arrangements of medical supplies (called "custom sterile packs" and "procedure-based delivery systems") as a means of offering end-user health care personnel a means of making their supply chain more efficient.
In April 2005, Jeffrey W. Henderson joined Cardinal Health as the Chief Financial Officer (CFO). R. Kerry Clark was appointed as President and CEO on April 17, 2006, with Robert D. Walter retaining the Chairmanship. On June 28, 2007, Cardinal Health announced the completion of the tender offer
for VIASYS Healthcare. On September 29, 2008 the company announced Kerry Clark would retire and George Barrett would become the Chairman and CEO. The company also announced plans to spin off the Clinical and Medical Products business as a separate publicly traded company under the name CareFusion
, with David Schlotterbeck as CEO. The spin-off was completed on September 1, 2009. CareFusion's anticipated annual revenue will be approximately $4 billion.
In June 2010, the company announced that it is planning to expand its presence in specialty pharmaceutical services with a definitive agreement to purchase Healthcare Solutions Holding in an upfront $517 million all-cash transaction.
In December 2010, the company acquired Kinray, one of the last and largest independent pharmaceutical wholesalers in the United States. According to the Wall Street Journal, the acquisition increased Cardinal's presence in the independent pharmacy market by 40 percent. Kinray had annual revenue of over $3.5 billion, and served about 2,000 independent retail pharmacy customers.
Fortune 500
The Fortune 500 is an annual list compiled and published by Fortune magazine that ranks the top 500 U.S. closely held and public corporations as ranked by their gross revenue after adjustments made by Fortune to exclude the impact of excise taxes companies collect. The list includes publicly and...
health care services company based in Dublin, Ohio
Dublin, Ohio
Dublin is a city in Franklin, Delaware, and Union counties in the U.S. state of Ohio. The population was 41,751 at the 2010 census. Dublin is a suburb of Columbus, Ohio. Approximately 57,000 people live within the Dublin school district....
. Cardinal Health specializes in health care supply chain services, providing pharmaceuticals and medical products to more than 40,000 locations each day. The company is also a manufacturer of medical and surgical products, including gloves, surgical apparel and fluid management products. In addition, the company supports the growing diagnostic industry by supplying medical products to clinical laboratories and operating the nation’s largest network of radiopharmacies that dispense products to aid in the early diagnosis and treatment of disease.
History
Founded in 1971 as Cardinal Foods by Robert D. WalterRobert D. Walter
Robert D. Walter is an American businessman. In 1971 he purchased Cardinal Foods, a small Ohio food wholesaler, in a leveraged buyout. Cardinal Health is now an $87 billion USD Fortune 100 company and one of the largest distributors of pharmaceuticals, health & beauty products, and hospital...
, it was initially a food wholesale
Wholesale
Wholesaling, jobbing, or distributing is defined as the sale of goods or merchandise to retailers, to industrial, commercial, institutional, or other professional business users, or to other wholesalers and related subordinated services...
r. Acquiring the Bailey Drug Company in 1979, it began wholesaling drugs as Cardinal Distribution, Incorporated. Following the introduction of the company on the NASDAQ
NASDAQ
The NASDAQ Stock Market, also known as the NASDAQ, is an American stock exchange. "NASDAQ" originally stood for "National Association of Securities Dealers Automated Quotations". It is the second-largest stock exchange by market capitalization in the world, after the New York Stock Exchange. As of...
stock exchange in 1983 it commenced on a long string of acquisition
Takeover
In business, a takeover is the purchase of one company by another . In the UK, the term refers to the acquisition of a public company whose shares are listed on a stock exchange, in contrast to the acquisition of a private company.- Friendly takeovers :Before a bidder makes an offer for another...
s and mergers. It is now traded on the NYSE under symbol (CAH http://finance.google.com/finance?q=CAH). As of April, 2010, it was ranked 17th on the Fortune 500
Fortune 500
The Fortune 500 is an annual list compiled and published by Fortune magazine that ranks the top 500 U.S. closely held and public corporations as ranked by their gross revenue after adjustments made by Fortune to exclude the impact of excise taxes companies collect. The list includes publicly and...
list with 2009 annual revenue of over $99 billion. Cardinal employs more than 30,000 people worldwide.
In 1995, Medicine Shoppe International (St. Louis, est. 1970), the country’s largest franchise of retail pharmacies, was acquired. The merger represents the first non-distribution acquisition by Cardinal Health.
In 1997, in competition between Cardinal Health and McKesson Corporation, Cardinal Health had planned to purchase Bergen, to which McKesson responded with a bid to purchase Amerisource. Instead, Amerisource and Bergen merged into AmerisourceBergen
AmerisourceBergen
AmerisourceBergen Corporation is a Chesterbrook, PA based Drug Wholesale company that was formed by the merger of Bergen Brunswig and AmeriSource in 2001...
.
In 1999, Cardinal acquired the Chicago-based medical products manufacturer and distributor, Allegiance Healthcare—formerly a division of Baxter Healthcare. Among its proprietary products, Allegiance made surgical drapes, gloves, and gowns; Allegiance also distributed customized arrangements of medical supplies (called "custom sterile packs" and "procedure-based delivery systems") as a means of offering end-user health care personnel a means of making their supply chain more efficient.
In April 2005, Jeffrey W. Henderson joined Cardinal Health as the Chief Financial Officer (CFO). R. Kerry Clark was appointed as President and CEO on April 17, 2006, with Robert D. Walter retaining the Chairmanship. On June 28, 2007, Cardinal Health announced the completion of the tender offer
Tender offer
Tender offer is a corporate finance term denoting a type of takeover bid. The tender offer is a public, open offer or invitation by a prospective acquirer to all stockholders of a publicly traded corporation to tender their stock for sale at a specified price during a specified time, subject to...
for VIASYS Healthcare. On September 29, 2008 the company announced Kerry Clark would retire and George Barrett would become the Chairman and CEO. The company also announced plans to spin off the Clinical and Medical Products business as a separate publicly traded company under the name CareFusion
CareFusion
CareFusion is a global, medical technology corporation serving the health care industry. The company specializes in two areas: reducing medication errors and helping prevent health care-associated infections...
, with David Schlotterbeck as CEO. The spin-off was completed on September 1, 2009. CareFusion's anticipated annual revenue will be approximately $4 billion.
In June 2010, the company announced that it is planning to expand its presence in specialty pharmaceutical services with a definitive agreement to purchase Healthcare Solutions Holding in an upfront $517 million all-cash transaction.
In December 2010, the company acquired Kinray, one of the last and largest independent pharmaceutical wholesalers in the United States. According to the Wall Street Journal, the acquisition increased Cardinal's presence in the independent pharmacy market by 40 percent. Kinray had annual revenue of over $3.5 billion, and served about 2,000 independent retail pharmacy customers.