TORONTO, Aug. 20, 2020 (GLOBE NEWSWIRE) -- VITALHUB CORP. (TSXV: VHI) (the “Company” or “VitalHub”), is pleased to announce today that it has acquired all the issued and outstanding shares (the “Acquisition”) of Intouch with Health Inc. (“Intouch”), a UK leader for patient flow management solutions.
Through its “Intouch Patient Journey Platform,” Intouch specializes in delivering patient-focused flow management solutions that allow patients to more effectively move throughout a hospital. Intouch has evolved their solutions to support “virtual healthcare” patient interaction placing less reliance on face-to-face interactions. Intouch was founded in 1999 and is headquartered in Cirencester, Gloucestershire, United Kingdom with staff and operations, composed of 38 employees and contractors, located throughout the United Kingdom. Their products are used by over 53 National Health Services (“NHS”) Trusts in the UK representing 130 hospitals. Its solutions are also deployed internationally.
Total consideration paid by VitalHub in the Acquisition, after a closing net equity adjustment, was approximately £3,850,000 (the “Purchase Price”) which is being paid in cash to the vendors of Intouch on closing of the Acquisition, save for £577,500 which is to be held for the purpose of customary post-closing adjustment and released four (4) months post-closing. In addition to the Purchase Price, the Company has also agreed to certain additional cash payments up to a maximum of £800,000 to the shareholders of Intouch pursuant to an earn-out clause triggered on achievement of certain business milestones of Intouch in the proceeding three (3) year period.
For the trailing 12 month period, as of July 31, 2020, Intouch had (unaudited): total revenue of £3,141,975 including recurring revenue of £1,329,198, profit after tax of £185,261 and Intouch’s cash on hand after a closing net equity adjustment is expected to be approx. £1,284,000 with no debt.
“We are extremely excited to welcome the Intouch team and their solutions to our existing Patient Flow platform. With the advent of virtual healthcare visits growing within hospitals we feel Intouch’s product offering is appropriate and timely and anticipate an immediate impact on our overall business. We have partnered with Intouch already in Canada and look forward to growing this relationship as a single entity,” said Dan Matlow, CEO of Vitalhub.
“The whole team at Intouch are thrilled to become part of the Vitalhub group and truly believe that by combining with Vitalhub’s existing Patient Flow platform, it will allow both organizations the ability to offer a combined comprehensive suite of solutions to both of our respective customer base. Combined, both organizations have the ability to expand nicely on an international basis. Both organizations know each other from our partnership, and we look forward to building on this relationship,” said Mike Sanders, CEO of Intouch.
ABOUT INTOUCH
Through Intouch’s “Intouch Patient Journey Platform,” which is currently utilized in over 53 National Health Service (“NHS”) Trusts in the UK as well and internationally, and processes over 30 million appointments annually, Intouch helps hospitals and private healthcare providers, in the United Kingdom, Australia, Latvia, and Qatar, increase their organizational efficiency and deliver an improved patient experience by way of improved communication and information management, cost reductions and overall quality improvements. The platform is comprised of three (3) product suites: Patient Flow, Clinical hub, and Pre-operative assessments (under the Synopsis Healthcare banner). See more at https://www.intouchwithhealth.co.uk/.
ABOUT VITALHUB
VitalHub develops and supports mission-critical information systems in the Social Service, Mental Health (Child, Youth and Adult), Long Term Care, Community Health Service, Home Health and Hospital sectors. VitalHub technologies include Blockchain, Mobile, and Web-Based Assessment, Client Management and Electronic Health Record solutions.
The Company has a robust two-pronged growth strategy, targeting organic growth opportunities within its product suite, and pursuing an aggressive M&A plan. Currently, VitalHub serves 200+ clients across North America. VitalHub is based in Toronto, Canada, with an offshore innovation hub in Sri Lanka. The Company is publicly traded on the TSX Venture Exchange under the symbol "VHI".
CAUTIONARY STATEMENT
The TSX Venture Exchange has in no way passed upon the merits of the transactions and has neither approved nor disapproved the contents of this press release. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
CONTACT INFORMATION
VitalHub
Dan Matlow
Chief Executive Officer, Director
(416) 727-9061
dan.matlow@vitalhub.com
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
This news release contains "forward-looking information" within the meaning of Canadian securities legislation. Forward-looking information generally refers to information about an issuer's business, capital, or operations that is prospective in nature, and includes future-oriented financial information about the issuer's prospective financial performance or financial position.
The forward-looking information in this news release includes reference to disclosure about the terms of the Acquisition and about Intouch. VitalHub made certain material assumptions, including but not limited to: prevailing market conditions; general business, economic, competitive, political and social uncertainties; delay or failure to receive board, shareholder or regulatory approvals; and the ability of VitalHub and Intouch to execute and achieve its business objectives, to develop the forward-looking information in this news release. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
Actual results may vary from the forward-looking information in this news release due to certain material risk factors. These risk factors include, but are not limited to: adverse market conditions; the inability of VitalHub and Intouch to successfully integrate operations; reliance on key and qualified personnel; and regulatory and other risks associated with the medical and technology industries in general. The foregoing list of material risk factors and assumptions is not exhaustive.
VitalHub assumes no obligation to update or revise the forward-looking information in this news release, unless it is required to do so under Canadian securities legislation.