BioScrip Raises Approximately $5 million in Private Placement of Common Stock DENVER

BioScrip Raises Approximately

$5 million in Private Placement of Common Stock

DENVER, March 2, 2017 - BioScrip, Inc. (NASDAQ:BIOS)

("BioScrip" or the "Company"), a leading national provider of infusion and home care management

solutions, today announced that it entered into a Stock Purchase

Agreement on March 1, 2017 for the sale of an aggregate

of 3,300,000 shares of its common stock (the "Shares") for aggregate gross proceeds of approximately $5,070,780

in a private placement transaction (the "Private Placement") to Venor Capital Management LP

and affiliated funds (the "Purchasers"). The purchase

price for each Share was $1.5366, which was negotiated between the Company and the Purchasers based on the volume-weighted

average price of the Company's common stock on The NASDAQ Global Market on March 1, 2017.

Proceeds from the Private Placement will be used for working

capital and general corporate purposes.

The Private Placement is exempt from the registration

requirements of the Securities Act of 1933, as amended (the "Securities Act") pursuant to the exemption for transactions

by an issuer not involving any public offering under Section 4(a)(2) of the Securities Act. The securities sold and issued in the Private Placement will not be registered under the Securities Act or any state

securities laws and may not be offered or sold in the United States absent registration with the SEC or an applicable exemption

from the registration requirements.

In connection with the Private Placement, the

Company entered into a Registration Rights Agreement (the "Registration Rights Agreement") with the

Purchasers. Pursuant to the Registration Rights Agreement, the Company agreed to prepare and file a registration

statement with the Securities and Exchange Commission (the "SEC") within ten (10) days of the date it files its

annual report on Form 10-K for the fiscal year ended December 31, 2016, for purposes of registering the resale of the

Shares and any shares of common stock issued as a dividend or other distribution with respect to the Shares. The Company also

agreed, among other things, to indemnify the selling holders under the registration statement from certain liabilities and to

pay all fees and expenses (excluding underwriting discounts and selling commissions and legal fees) incident to

the Company's obligations under the Registration Rights Agreement.

Dechert LLP is serving as legal advisor to BioScrip, and Akin

Gump Strauss Hauer & Feld LLP is serving as legal advisor to the Purchasers.

About BioScrip, Inc.

BioScrip, Inc. is a leading national provider of infusion and

home care management solutions. BioScrip partners with physicians, hospital systems, skilled nursing facilities, healthcare payors,

and pharmaceutical manufacturers to provide patients access to post-acute care services. BioScrip operates with a commitment to

bring customer-focused pharmacy and related healthcare infusion therapy services into the home or alternate-site setting. By collaborating

with the full spectrum of healthcare professionals and the patient, BioScrip provides cost-effective care that is driven by clinical

excellence, customer service, and values that promote positive outcomes and an enhanced quality of life for those it serves.

Forward-Looking Statements - Safe Harbor

This press release includes statements

that may constitute "forward-looking statements," that involve substantial risks and uncertainties. These statements

are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. You can identify these

statements by the fact that they do not relate strictly to historical or current facts. In some cases, forward-looking statements

can be identified by words such as "may," "should," "could," "anticipate," "estimate,"

"expect," "project," "outlook," "aim," "intend," "plan," "believe,"

"predict," "potential," "continue" or comparable terms. Because such statements inherently involve

risks and uncertainties, actual future results may differ materially from those expressed or implied by such forward-looking statements.

Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and

uncertainties, and that actual results may differ materially from those in the forward-looking statements as a result of various

factors. Important factors that could cause or contribute to such differences include but are not limited to risks associated with:

the Company's ability to complete the Private Placement on acceptable terms or at all, the Company's ability to integrate

the acquisition of Home Solutions, the Company's ability to grow its core Infusion revenues, the Company's ability to continue

to experience positive results from its financial improvement plan to reduce operating costs; the Company's ability to comply

with the covenants in its debt agreements; the success of the Company's initiatives to mitigate the impact of the Cures Act

on its business; reductions in federal, state and commercial reimbursement for the Company's products and services; increased government

regulation related to the health care and insurance industries; as well as the risks described in the Company's periodic filings

with the Securities and Exchange Commission. The Company does not undertake any duty to update these forward-looking statements

after the date hereof, even though the Company's situation may change in the future. All of the forward-looking statements herein

are qualified by these cautionary statements.

For Further Information:

Chief Financial Officer