Quipt Home Medical Acquires DME Provider

CINCINNATI—Quipt Home Medical Corp. announced it has acquired a full-service durable medical equipment (DME) provider that is wholly owned by Ballad Health. Ballad Health is an integrated health system comprised of 20 hospitals, post-acute care and behavioral health services, and a large multi-specialty group physician practice. Ballad Health serves 29 counties of the Appalachian Highlands in Tennessee, Virginia, North Carolina and Kentucky. The Acquiree reported unaudited revenue of $6.6 million for the fiscal year ended June 30, 2025, serving over 12,500 patients annually through four branch locations across Tennessee and Virginia.

The company said this is a milestone for Quipt as it expands upon Quipt’s traditional acquisition model to form deeper partnerships with health care systems. In connection with the deal, Quipt entered into a preferred provider agreement with Ballad Health aimed at facilitating post-acute care coordination across the system’s hospitals, further embedding Quipt into the care delivery model and enabling scalable population health solutions. The move brings Quipt a portfolio of respiratory, oxygen, mobility and home medical products and a strong diversified payer mix.

“Acquiring this Ballad Health owned medical equipment provider and concurrently entering into a preferred provider agreement with Ballad Health exemplifies our commitment to creating lasting, system-wide healthcare partnerships that enhance the delivery of home-based care,” said Greg Crawford, CEO and chairman of Quipt. “I anticipate that this transaction will help establish a scalable playbook that we can deploy across the country, partnering with leading health systems to integrate care, reduce readmissions, and support patients in the home setting. As we layer in our proven operating model, we see this unlocking meaningful organic growth across the region and providing a national roadmap for future expansion.”

Transaction Highlights:

• The acquiree reported unaudited revenue of $6.6 million for the fiscal year ended June 30, 2025, serving over 12,500 patients annually across four branch locations in Tennessee and Virginia.
• Purchase price of $1.6 million plus the value of accounts receivable and inventory at closing, representing a highly attractive valuation and structured with favorable terms that preserve Quipt’s conservative balance sheet.
• Management expects the acquiree’s Adjusted EBITDA (defined below) margin to align with Quipt’s historical range within two quarters, driven by operational efficiencies, and clinical workflow integration.
• Preferred provider agreement signed with Ballad Health, an integrated health system operating 20 hospitals across Tennessee, Virginia, North Carolina, and Kentucky.
  The acquiree’s service area is a region with a rapidly growing senior population (65+ age cohort expected to grow 10.2% by 2028).
• Provides immediate post-acute referral access from 20 hospitals under the preferred provider agreement, supporting smoother patient discharge and reduced readmissions.
• Establishes a scalable health system partnership playbook for future transactions nationwide.
• Expected to help accelerate organic growth after integration into Quipt’s operating platform, enhanced referral channels and geographic density.