UPDATE 1-Apria to buy home infusion services firm for $350 mln

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Oct 15 (Reuters) - Apria Healthcare Group Inc AHG.N said it agreed to buy Coram Inc, a privately held provider of home infusion and specialty pharmaceutical services, for $350 million in cash.

The deal will help Apria expand into the specialty pharmaceutical market and make it less reliant on government reimbursement policies, since government payers will represent a smaller percentage of its overall business, the company said.

Apria expects the transaction hurt its net earnings by about $3.5 million to $5.5 million in 2008, and add to 2009 net earnings by about $5 million to $6 million.

Apria provides home respiratory therapy, home infusion therapy and home medical equipment.

The acquisition could close as early as mid-November, Apria said in a statement.

Apria Healthcare was advised on the transaction by Credit Suisse Securities LLC. (Reporting by John Tilak in Bangalore)