Is Apria Healthcare Going Out of Business? NO! 2025

No, Apria Healthcare is not going out of business. In fact, it is now owned by Owens & Minor, Inc., which acquired it in 2022 to strengthen its presence in the growing home healthcare market. Although Apria has faced legal issues in the past, such as allegations of fraudulent billing, the company is currently focusing on expanding and improving its services.

Apria provides medical equipment like oxygen tanks, CPAP machines, and wheelchairs to patients in their homes. Owens & Minor’s investment shows that the company has a stable future and aims to meet the rising demand for home-based care. Apria’s legal challenges are now behind it, and it’s working hard to improve patient service and compliance.

Detailed Overview of Apria Healthcare

Apria Healthcare Group Inc. is one of the leading home healthcare providers in the United States, offering medical equipment and services to help patients manage chronic conditions from the comfort of their homes. It serves patients with respiratory illnesses, sleep apnea, and mobility challenges, among other conditions. Apria plays a crucial role in reducing hospital stays by providing equipment like oxygen tanks, CPAP machines, and wheelchairs directly to patients’ homes.

The company collaborates with Medicare, Medicaid, and private insurers to make healthcare more accessible and affordable. Over the years, Apria has undergone several mergers, ownership changes, and legal challenges, but it remains a critical player in the home healthcare industry. Below is a detailed breakdown of the company’s services, history, legal background, ownership, and current status.

Services Provided by Apria Healthcare

Apria focuses on providing durable medical equipment (DME) and home-based healthcare services. These services allow patients with long-term health conditions to avoid frequent hospital visits.

1. Respiratory Therapy Services

Oxygen Therapy: Portable and stationary oxygen concentrators for patients with COPD (Chronic Obstructive Pulmonary Disease) and other respiratory conditions.
Nebulizers: Devices to deliver medication to patients with asthma or other lung conditions.
Apria’s respiratory therapists monitor patient progress and ensure that equipment is properly maintained.

2. Sleep Therapy Services

CPAP (Continuous Positive Airway Pressure) Machines: Helps patients with sleep apnea by keeping their airways open during sleep.
BiPAP Machines: A variation of CPAP for people with more severe breathing issues.
Apria provides fittings for masks and ongoing technical support to improve compliance with sleep therapy.

3. Mobility and Home Medical Equipment (HME)

Wheelchairs, Walkers, and Scooters: Mobility devices for patients with disabilities or post-surgery needs.
Hospital Beds and Lift Chairs: Equipment that helps patients recover comfortably at home.
Wound Care Supplies: Helps with at-home treatment for patients recovering from surgery or injuries.

4. Enteral Nutrition Services

Provides tube feeding equipment and supplies for patients unable to consume food orally.
Ongoing support and monitoring to ensure patients receive proper nutrition.

Why Are There Rumors About Apria Healthcare Going Out of Business?

The rumors about Apria Healthcare going out of business are likely the result of misunderstandings tied to recent changes and challenges the company has faced. These rumors may stem from ownership changes, legal issues, and customer complaints, which sometimes create confusion about the company’s stability.

However, Apria is not shutting down—it is now under the ownership of Owens & Minor, Inc. and actively expanding. Below, we break down the key factors that have contributed to these rumors.

1. Acquisition by Owens & Minor in 2022

In March 2022, Owens & Minor, Inc. acquired Apria Healthcare for $1.45 billion.
Mergers and acquisitions can often spark concern among employees, patients, and customers. People sometimes fear that the acquired company will be shut down or absorbed into the parent company, losing its brand identity and services.
Although Apria continues to operate as a separate division under Owens & Minor, some people misunderstood the acquisition and assumed Apria was being phased out or going out of business.

Why Are There Rumors About Apria Healthcare Going Out of Business?

2. Past Legal Issues and Settlement

Apria has been involved in legal disputes, including a major case in 2017 when the company was accused of fraudulently billing Medicare and government health programs.
The lawsuit resulted in a $40.5 million settlement, although Apria did not admit to any wrongdoing. This case damaged the company’s reputation and led to negative press, which can leave a lasting impression on the public.

3. Customer Service and Billing Complaints

Over the years, Apria has received numerous customer complaints about overbilling, unauthorized charges, and poor customer service.
Some patients complained about being charged for equipment they no longer used or were billed incorrectly due to confusing rental agreements for CPAP machines and other devices.

4. Transition from Public to Private Ownership

Apria briefly became a public company in 2021 with an Initial Public Offering (IPO), only to be acquired by Owens & Minor less than a year later.
When a company goes from being publicly traded to privately owned, people may assume that it is shrinking or facing financial problems.

5. Confusion Between Restructuring and Closing Down

Apria has gone through restructuring at various points in its history, especially under different ownerships, such as The Blackstone Group and now Owens & Minor.
Restructuring often involves internal changes like reorganization, layoffs, or service adjustments, which can be misunderstood by the public as signs of an impending shutdown.

6. General Industry Challenges

The home healthcare industry faces tight regulation and constant government scrutiny, especially regarding billing practices for Medicare and Medicaid.
Industry-wide challenges, such as increased competition and rising operational costs, can make it look like companies are struggling even when they are adapting to new conditions.

Why This Affects Apria’s Image:

Apria operates in a high-risk market where legal challenges and compliance issues are common. This makes it easy for people to mistake routine challenges as signs that the company is in danger of failing.
The COVID-19 pandemic also created disruptions in medical supply chains, which affected companies like Apria. Any delays or issues during this period may have further fueled speculation about the company’s stability.

Detailed Overview of Legal Cases Involving Apria Healthcare

Over the years, Apria Healthcare has been involved in several legal disputes, primarily concerning billing practices, insurance fraud, and customer complaints. These cases have drawn significant attention, impacting the company’s reputation. Below is a detailed exploration of some key legal cases and issues faced by the company.

1. False Claims Act Case – Medicare and Medicaid Fraud Allegations (2017)

One of the most notable legal cases against Apria Healthcare was filed under the False Claims Act (FCA), which allows whistleblowers to report companies that defraud government programs such as Medicare or Medicaid.

Details of the Case:

Apria was accused of submitting false claims to Medicare and other government healthcare programs for durable medical equipment (DME) and services.
The allegations stated that Apria billed Medicare for equipment that patients no longer needed or did not use (such as oxygen tanks or CPAP machines).
There were also accusations that the company billed for equipment it never provided to patients.

Settlement:

In December 2017, Apria settled the case for $40.5 million without admitting to any wrongdoing.
The company agreed to enhance its internal compliance programs and improve how it tracked and billed for services.
This settlement aimed to resolve whistleblower allegations, which were brought by former employees under the qui tam provisions of the False Claims Act. In such cases, whistleblowers receive a portion of the settlement—typically 15-30%—as a reward.

Is Apria Healthcare Going Out of Business? NO!

2. Customer Billing Disputes and Class-Action Lawsuits

Apria Healthcare has also faced customer lawsuits related to billing practices. Many patients reported being overbilled or charged for equipment that they didn’t use or no longer needed. These billing disputes have led to class-action lawsuits and complaints across multiple states.

Key Allegations:

Patients claimed they were billed for rented CPAP machines or oxygen equipment even after returning the devices.
Some patients reported being charged monthly fees without being properly informed about the rental agreements.
There were complaints of unauthorized charges, with customers stating that they were billed for services they didn’t receive.
In some cases, Apria allegedly continued to charge patients after insurance coverage ended, leaving patients with unexpected out-of-pocket costs.

Legal Outcomes:

Apria has reached settlements in several billing-related lawsuits, though the details of these settlements have not always been made public.
In response to these complaints, Apria has revised its billing policies and introduced more transparent agreements to avoid future legal troubles.

3. Investigations by Regulatory Authorities

As a provider of services to Medicare and Medicaid beneficiaries, Apria is subject to regular audits and investigations by government agencies, such as the Centers for Medicare & Medicaid Services (CMS) and the Department of Justice (DOJ).

Focus of Investigations:

Regulatory bodies examined whether Apria complied with Medicare rules on medical necessity, equipment documentation, and proper billing.
These investigations sought to identify cases where the company may have billed for unnecessary equipment or failed to adequately document patient needs.

Results of Investigations:

Although the company has not faced major penalties beyond the 2017 False Claims Act settlement, these audits highlight the strict oversight in the home healthcare sector.
Apria has strengthened its internal compliance programs to meet regulatory standards and avoid future penalties.

4. Employee Whistleblower Lawsuits

Apria has also faced whistleblower lawsuits filed by former employees. These lawsuits often allege that the company engaged in unethical practices to boost profits. Whistleblowers have claimed that:

Apria pressured employees to meet sales quotas by enrolling patients in equipment rental programs, even when the equipment wasn’t medically necessary.
The company failed to terminate equipment rental agreements promptly, resulting in overbilling of patients and insurance programs.

Is Apria Healthcare Going Out of Business?

Apria Healthcare’s Ownership History

Apria Healthcare has evolved through mergers, acquisitions, and ownership changes since its beginnings in the 1980s. It has seen different phases, from small-scale operations to being part of major corporations. Each ownership brought changes that shaped Apria into the home healthcare leader it is today. Here’s the full journey of Apria’s ownership story:

1. Origins as Homedco Group, Inc. (1981)

Founded in 1981, the company started as Homedco Group, Inc., focusing on home respiratory care.
It provided oxygen tanks and equipment for patients with chronic respiratory conditions, helping them manage care at home rather than in hospitals.
Homedco was one of the first companies to recognize the growing demand for home-based medical equipment, setting the foundation for future success.

2. Merger with Abbey Healthcare Group (1995) – Birth of Apria Healthcare

In 1995, Homedco merged with Abbey Healthcare Group, another home healthcare services provider.
The new company was named Apria Healthcare Group, Inc., marking the beginning of the Apria brand.
This merger allowed Apria to expand its services beyond respiratory care, offering a wider range of home medical equipment and therapies, such as sleep apnea solutions and mobility aids.

The goal of the merger was to combine resources, improve operations, and become a leader in the home healthcare industry. The company grew quickly, capitalizing on the growing need for home-based medical services across the U.S.

3. Acquisition by The Blackstone Group (2008)

In 2008, the private equity giant Blackstone Group acquired Apria Healthcare for $1.6 billion.
Private equity firms buy companies to improve their profitability, usually by restructuring operations, and then sell them for a profit.

Changes Under Blackstone’s Ownership:

Blackstone focused on modernizing Apria’s operations, including implementing new technologies to improve logistics and patient service.
The company expanded its offerings in sleep therapy devices (CPAP machines) and mobility equipment, which were becoming more popular.
Blackstone also worked to manage costs, but some customers reported billing issues and service complaints during this period, which led to negative press.

Though Blackstone planned to sell Apria after improving its performance, the company faced challenges during the 2008 financial crisis, delaying those plans. However, Apria remained a key player in the home healthcare market despite these hurdles.

4. Spin-off and IPO as Apria, Inc. (2021)

In February 2021, Apria became a public company by launching an Initial Public Offering (IPO) on the NASDAQ stock exchange under the ticker symbol APR.
Blackstone decided to take Apria public to allow investors to buy shares and raise money for the business. This move also provided Blackstone with an exit strategy to sell its remaining stake over time.

Impact of the IPO:

The IPO gave Apria more financial flexibility to expand its services and modernize further.
Apria focused on home respiratory care, sleep therapy, and durable medical equipment, aligning with the growing demand for telemedicine and remote care during the COVID-19 pandemic.

Despite the success of the IPO, Apria’s new journey as a public company was short-lived, as it quickly attracted interest from larger corporations looking to expand in the home healthcare market.

5. Acquisition by Owens & Minor, Inc. (2022) – Current Owners of Apria Health care

In March 2022, Owens & Minor, Inc. acquired Apria Healthcare for approximately $1.45 billion. Owens & Minor, a global healthcare solutions company, saw the acquisition as a way to expand into the home healthcare space.
This purchase was part of Owens & Minor’s strategy to meet the rising demand for at-home care, especially for patients with chronic conditions requiring long-term equipment.

Why Owens & Minor Bought Apria:

Home healthcare is growing fast, with more patients managing chronic illnesses like COPD and sleep apnea at home.
Owens & Minor wanted to diversify its operations beyond supplying hospitals with medical equipment, moving into home-based care.
The acquisition brought synergy—meaning that combining the two companies would make both stronger by leveraging their resources and networks.

Under Owens & Minor, Apria continues to operate under its original name as a key division of the parent company. Owens & Minor has been working to improve service quality and billing transparency to avoid the legal and customer service issues that Apria faced in the past.