WELL Health Acquires 51% Stake In Easy Allied Health

WELL Health Technologies (TSX: WELL) this morning continued with its healthcare consolidation strategy, announcing that it will be acquiring a majority stake in Easy Allied Health. Easy Allied is a private, BC-based healthcare facility that focuses on kinesiology, counselling, physiotherapy, and occupational therapy.

Easy Allied currently has a staff of 17 service providers, whom are focused on providing an integrated health experience. The company currently provides both in-clinic and in-residence care, while also providing care to independent and long term care homes. Easy Allied currently is said to have a revenue run rate of roughly $1.0 million, with EBITDA margins said to exceed 35%.

The arrangement will see WELL acquire a 51% in the private operator, with the remaining 49% stake staying the hands of Armin Ghayyur, the founder and CEO of the firm. In exchange for this stake, WELL is to pay $1.1 million in total consideration. Following the closing of the transaction, Ghayyur will continue to operate the company.

Payment is to consist of cash to the tune of $783,750, as well as $41,250 to be deposited in escrow, with the remaining $275,000 to be payable in cash or common shares during a time-based earn out period. The company also has a call option on the remaining portion of the firm.

WELL Health last traded at $7.64 on the TSX.

Information for this briefing was found via Sedar and WELL Health Technologies Corp. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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