Cencora to buy American Oncology Network in $2.4 billion deal

Oct 21 — Drug distributor Cencora said on Wednesday it would acquire American Oncology ​Network in a deal valuing the cancer care provider at up to $2.4 billion, deepening its reach in community oncology across the United ‌States.

Cencora, which currently owns about 4% of AON, will acquire all of the equity interests that ⁠it does not currently own. Its ​shares were down more than 1%.

Community ⁠oncology practices, where physicians provide cancer care in outpatient settings, have become ‌a dealmaking hotspot as ‌demand for treatment outside hospital systems grows.

In 2024, Cardinal Health ⁠agreed to acquire Integrated Oncology Network for $1.12 ⁠billion. Rival McKesson acquired a controlling interest in Core Ventures, the management services organization established by Florida Cancer Specialists & Research Institute, for $2.49 billion, while Cencora in 2025 took majority control of OneOncology in a $5 billion deal.

Evercore ISI analyst Elizabeth Anderson said the deal diversifies Cencora's community oncology presence ‌by adding AON's focus on smaller providers, compared ​to OneOncology's emphasis on larger practices.

The AON deal consists of $2.3 billion payable at closing and contingent value rights worth up to $100 million tied to certain conditions. Certain AON shareholders may retain up to a 25% equity stake through a rollover arrangement, with Cencora expected to pay about $1.7 billion for a 75% stake.

Cencora expects the acquisition to boost its adjusted ​profit per share in the second year after the deal closes.

Barclays analyst Glen ‌Santangelo said the ‌deal's size ⁠suggests it is a continuation of the company's current strategy rather than anything transformational.

Cencora also updated its annual forecast to reflect the strength of the US healthcare solutions reportable segment, ahead of its quarterly results on November 4.

It expects ‌adjusted per-share earnings to be ​at least $17.90, near the high end of ‌the previous $17.75 to $17.95 range, ⁠while analysts ​estimate $17.89, according to data compiled by LSEG.

(Reporting by Sriparna Roy in Bengaluru; Editing by ​Shilpi Majumdar)

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