Well Health To Acquire MyHealth For $266.3 Million

WELL Health Technologies Corp. (TSX: WELL) today announced that it has entered into a definitive share purchase agreement to acquire all the issued and outstanding shares of MyHealth Partners Inc. The transaction is valued at approximately $206 million, excluding an earn-out provision.

MyHealth is currently focused on providing primary care, specialty care, telehealth and diagnostic services across Ontario. The firm reportedly has annual proforma revenues of $100 million, with EBITDA margins currently sitting at 20%. The firm operates much the same as Well, given that it has conducted 25 acquisitions over eight years, focusing on both organic and inorganic growth.

When combined with Well’s numerous telehealth businesses, the acquisition is expected to make Well Health the leading multi-disciplinary telehealth service provider in Canada.

Under the terms of the transaction, assuming the full earn-out provision being met, Well is to pay $266.3 million in consideration. Consideration is to consists of $82 million in cash, $94.3 million in shares at a price of $9.80 per share (a 38.1% premium to current volume weighted price of the equity), a convertible promissory note to the tune of $30 million, and an earnout provision of $60 million.

Once the transaction is finalized, Well expects its revenue run rate to “approach” $400 million, while EBITDA is expected to be near $100 million.

WELL Health Technologies Corp. last traded on the TSX at $7.17.


Information for this briefing was found via Sedar and the companies mentioned. 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.

Video Articles

Is Gold’s Bull Market About to Hit Junior Stocks? | Ken Armstrong – Westhaven Gold

Surge Battery Metals: The Nevada North Lithium PEA

Silver @ $36 & We’re Still 200M Oz Short | Paul Andre Huet – Americas Gold and Silver

Recommended

Goliath Resources Closes Out Funding Round With Total Gross Proceeds Of $27.1 Million

Silver47 Kickstarts 4,000 Metre Drill Campaign At Red Mountain Project

Related News

Well Health, Bombardier To Be Added To S&P/TSX Composite Index

The latest changes for the S&P/TSX Composite Index, assembled by S&P Down Jones Indices, were...

Sunday, September 5, 2021, 12:09:00 PM

Well Health: PI Financial Raises Price Target To $7.00 On Back Of Circle Acquisition

This week WELL Health Technologies (TSX: WELL) announced that they are expanding into the US...

Friday, September 4, 2020, 01:38:00 PM

Well Health Claims Record Revenues In May, Provides No Hard Details

Well Health Technologies (TSX: WELL) this morning attempted to rally its base amidst its endless...

Friday, June 10, 2022, 08:07:33 AM

Well Health To Raise $65.0 Million Via Convertible Debt

Well Health Technologies (TSX: WELL) is returning to the trough just days after reporting its...

Tuesday, November 16, 2021, 08:25:55 AM

Well Health Sees Patient Visits Post Continued Growth In Q3

Well Health (TSX: WELL) this morning released preliminary third quarter results as it looks to...

Wednesday, November 2, 2022, 08:29:47 AM