Second investment in the U.S. healthcare market – expanding business foundations and pursuing synergy with Quest

ST. PAUL, Minn., May 7, 2025 /PRNewswire/ -- Sumitomo Corporation (Head Office: Chiyoda-ku, Tokyo; Representative Director, President and Chief Executive Officer: Shingo Ueno) has, through its Group company, Sumitomo Corporation of Americas (collectively "Sumitomo Corporation Group"), acquired ActivStyle, LLC (hereinafter "ActivStyle"), a U.S. provider of home medical supplies for patients with chronic conditions, in May 2025. Prior to this, in April 2025, Sumitomo Corporation increased its stake in Vast Medical Holdings, the parent company of Quest, a provider of home medical equipment, supplies and services for people with diabetes. Moving forward, Sumitomo Corporation Group will pursue business synergy through cross-selling of products and services between ActivStyle and Quest.

Chronic conditions, including diabetes, have become a growing social issue in the United States. Incontinence, a chronic condition requiring long-term care, affects more than 25 million people in the U.S. – approximately 8 percent of the population – and this number is increasing by 2–5 percent annually. As incontinence is a common complication of diabetes, patient numbers are expected to rise in line with an aging population and increasing chronic disease rates.

ActivStyle serves as a key intermediary connecting patients, healthcare providers, medical supply manufacturers and insurance companies. The company collaborates closely with insurers and healthcare institutions to provide patients with incontinence care products such as adult diapers and undergarments, which are covered by insurance. Since its founding in 1997, ActivStyle has expanded its network with insurers and healthcare providers, becoming a leading player in the U.S. market with services reaching over 50,000 patients nationwide.

Sumitomo Corporation Group entered the U.S. healthcare market in April 2024 by investing in Vast Medical Holdings, leveraging expertise gained from its home pharmaceutical services business in Japan and its managed care operations in Southeast Asia, which include data analysis on medical costs associated with chronic illnesses such as diabetes. Based on its strong performance following this initial investment, Sumitomo Corporation increased its stake in Vast Medical Holdings in April 2025 to support further growth.

The acquisition of ActivStyle enables the Sumitomo Corporation Group to expand its business foundation in terms of insurance coverage, product offerings and patient base. By leveraging synergies with Quest, Sumitomo Corporation Group aims to improve patients' quality of life while contributing to medical cost optimization. The knowledge gained through U.S. operations will be applied to existing businesses in Japan and Southeast Asia with the goal of maximizing regional synergy. Looking ahead, the Sumitomo Corporation Group plans to pursue further investments, targeting a total investment of 360 million dollars in the U.S. healthcare market by 2027, total investment of 700 million dollars and profit of 70 million dollars in the U.S. healthcare market by 2030.