- CRH Medical Corporation (CRH), a wholly owned subsidiary of WELL that provides physicians with innovative services and products for the treatment of gastrointestinal diseases, completes a majority stake acquisition for 51% of North Denver Anesthesia Associates, LLC (NDAA).
- The NDAA acquisition creates a strategic partnership between CRH and one of the most prominent GI groups in the Denver market, with 16 practicing GI physicians.
- NDAA’s current estimated annualized revenue run-rate is approximately US$9.0 million and will be immediately accretive to Cash Flow and EBITDA(1).
- This accretive acquisition marks CRH’s 3rd transaction in Colorado and expands CRH’s footprint to a total of 15 sites of service across the Denver market.
VANCOUVER, BC, Nov. 19, 2024 /CNW/ – WELL Health Technologies Corp. (TSX: WELL) (“WELL” or the “Company”), a company focused on consolidating and modernizing clinical and digital assets within the healthcare sector, is pleased to announce its wholly owned subsidiary, CRH, has completed an accretive transaction of a 51% stake in North Denver Anesthesia Associates, LLC (NDAA), a provider of gastrointestinal (GI) related anesthesia services at six locations in the Denver, Colorado market.
Jay Kreger, CEO of CRH, commented, “This marks our 15th transaction since joining WELL and increases our footprint in the Denver GI market. This is also our third acquisition in Colorado, and we look forward to serving our patients alongside our new partners. Our new GI partners have a long-standing reputation and history of providing quality gastrointestinal care in Denver and we couldn’t be more excited to form this partnership to provide quality anesthesia to their patients.”
NDAA performs GI anesthesia services at six endoscopic surgery locations in Denver, Colorado. The majority acquisition of NDAA is expected to be immediately accretive to CRH’s cash flows and represents an estimated current annual revenue run-rate of approximately US$9.0 million. This acquisition adds 14 practitioners to CRH’s team of over 1,200 credentialed anesthesia healthcare practitioners.
Footnotes:
- Earnings before interest, taxes, depreciation, and amortization (EBITDA) and EBITDA Margin are each non-GAAP measures. EBITDA should not be construed as alternatives to net income or loss determined in accordance with International Financial Reporting Standards (IFRS). EBITDA does not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers. The Company believes that EBITDA is a meaningful financial metric as it measures cash generated from operations which the Company can use to fund working capital requirements, service future interest and principal debt repayments, and fund future growth initiatives. For a reconciliation of EBITDA to net income, please refer to the Company’s most recent Management Discussion and Analysis on SEDAR.
WELL Health Technologies Corp.
Per:
“Hamed Shahbazi”
Hamed Shahbazi
Chief Executive Officer, Chairman and Director
About WELL Health Technologies Corp.
WELL is an innovative, technology-enabled healthcare company whose overarching objective is to positively impact health outcomes by leveraging technology to empower and support healthcare practitioners and their patients. WELL has built an innovative practitioner enablement platform that includes comprehensive end-to-end practice management tools, inclusive of virtual care and digital patient engagement capabilities, as well as Revenue Cycle Management (RCM) and data protection services.
WELL owns and operates Canada’s largest network of outpatient medical clinics serving primary and specialized healthcare services and is the provider of a leading multinational, multidisciplinary telehealth offering. WELL is publicly traded on the Toronto Stock Exchange under the symbol WELL. To access WELL’s Canadian telehealth service, visit tiahealth.com, and for corporate information visit www.well.company.
About CRH Medical Corporation
CRH is a North American company focused on providing gastroenterologists throughout the United States with innovative services and products for the treatment of gastrointestinal diseases. CRH also provides locum tenens and permanent placement anesthesia staffing solutions to provider groups, hospitals, and ASCs.
In 2014, CRH became a full-service gastroenterology anesthesia company that provides anesthesia services for patients undergoing endoscopic procedures in ambulatory surgical centers. To date, CRH has completed 48 anesthesia acquisitions and now serves over 140 ambulatory surgery centers in 19 states. In addition, CRH owns the “CRH O’Regan System,” a single-use, disposable hemorrhoid banding technology that is safe and highly effective in treating all grades of hemorrhoids.
Notice Regarding Forward-Looking Statements
Certain statements in this news release are forward-looking statements and are prospective in nature, including statements regarding the anticipated benefits of the acquisitions and the future strategy of WELL and CRH. These statements are subject to risks and uncertainties which could cause actual results to differ materially from those expressed or implied. Except as required by law, WELL does not intend to update these forward-looking statements.
For further information:
Pardeep S. Sangha
Vice President, Corporate Strategy and Investor Relations
[email protected]
604-572-6392
