Cardinal Health Products Won't Be in Cleveland Medical Mart (or Any Other)

Once an early high-profile supporter of the medical mart concept, drug distributor Cardinal Health (NYSE: CAH  ) has had an apparent change of opinion.

The giant drug distributor -- and Ohio's largest company -- does not plan to lease space in the planned Cleveland medical mart or its counterpart in Nashville, spokeswoman Corey Kerr said. So don't expect to see Cardinal Health products in any medical convention center -- an untested concept that would house under one roof product showrooms from numerous companies that sell to the health-care industry.

Two years ago, Cardinal was one of 11 tenants announced by a New York medical mart project that fizzled out shortly afterwards. Cardinal seemed enthused by the New York project, which was to be called the World Product Centre, at the time.

"The development of World Product Centre provides a transparent, neutral location for health care providers to evaluate products and services from a variety of manufacturers and distributors," Mark Rosenbaum, Cardinal's chief customer officer, said at the time.

But now, Cardinal Health is singing a different tune. Kerr reiterated a quote she gave to The Tennessean for an article on the Nashville Medical Trade Center's progress.

"Our customers have made it clear to us that they prefer our continued participation in industry trade shows and events that they've come to know and respect," she said. "It's important to maintain personal interaction with our customers in locations that are convenient to them."

Not having Cardinal Health products in its showrooms -- let alone the Cardinal Health company endorsement -- is an early setback for the convention centers. But property developers behind the Cleveland and Nashville medical marts have to hope that Cardinal's change of heart isn't indicative of a general disinterest in the medical mart concept on the part of big health-care firms.

To counter that notion, Nashville would almost certainly point to a recently signed big-name tenant: furniture maker Steelcase. Cleveland, meanwhile, would argue that more than 60 companies have shown interest in signing leases for its medical mart, including publicly traded Northeast Ohio medical device manufacturers Invacare (NYSE: IVC  ) and Steris (NYSE: STE  ) .

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1512505, ~/Articles/ArticleHandler.aspx, 10/22/2014 6:10:30 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement