Quipt Home Medical Forms Joint Venture with Major Health Systems

Quipt Home Medical has partnered with three major health systems to form a joint venture, acquiring a 60% ownership interest in Hart Medical Equipment. The remaining 40% interest is collectively held by Henry Ford Health, McLaren Health Care, Blanchard Valley Health System, Wood County Hospital, and The Bellevue Hospital. This deal is expected to enhance Quipt's presence in the Midwest and provide immediate entry into the large and strategically important market of Michigan. The transaction is expected to close by the end of Fiscal Q4, 2025, subject to customary closing conditions.

Quipt Home Medical Corp. (NASDAQ: QIPT; TSX: QIPT), a leading provider of end-to-end respiratory care solutions, has announced a strategic joint venture with Hart Medical Equipment. The deal involves Quipt acquiring a 60% ownership interest in Hart, with the remaining 40% interest collectively held by major health systems, including Henry Ford Health, McLaren Health Care, Blanchard Valley Health System, Wood County Hospital, and The Bellevue Hospital [1].

The transaction, expected to close by the end of Fiscal Q4, 2025, subject to customary closing conditions, aims to enhance Quipt's presence in the Midwest and provide immediate entry into the large and strategically important market of Michigan. Hart, headquartered in Michigan, is a leading accredited durable medical equipment supplier with over 20 years of experience. It generated approximately $60 million in revenue and $7 million in Adjusted EBITDA for the twelve months ended June 2025. Hart maintains longstanding relationships with leading integrated health systems, serving over 67,000 patients monthly [1].

This acquisition is expected to strengthen Quipt's strategy of expanding relationships with healthcare systems and building scalable integration models that embed Quipt into discharge planning and care coordination. The joint venture positions Quipt in the evolving healthcare reimbursement environment, working alongside health systems heavily invested in value-based care [1].

Management expects Adjusted EBITDA margin to align with historical corporate averages within three quarters post-closing. Synergies are anticipated through operational efficiencies and cross-market integration. Quipt’s expected total consideration for its 60% ownership interest is in the range of $17-18 million [1].

References:
[1] https://finance.yahoo.com/news/quipt-home-medical-partners-three-113000289.html