- VitalHub (TSX:VHI) has closed its acquisition of MedCurrent Corp. in an all-cash transaction for C$12.0 million
- MedCurrent’s flagship OrderWise platform will complement VitalHub’s existing Patient Flow software suite, offering a comprehensive solution and bolstering VitalHub’s market position
- This is expected to boost new business opportunities within the expanding product portfolio
- Shares of VitalHub last traded at C$9.03
Healthcare stock VitalHub (TSX:VHI) has closed its acquisition of MedCurrent Corp. in an all-cash transaction for C$12.0 million.
“We are pleased to welcome the MedCurrent team to the VitalHub family,” Dan Matlow, CEO of VitalHub, said in a news release. “The combined talents of our teams will foster innovation, underscoring our commitment to staying ahead of an evolving market. We look forward to integrating MedCurrent’s technology and strengthening our market positioning and value proposition to customers.”
The acquisition is a part of VitalHub’s strategy to integrate technology solutions that enhance healthcare delivery. MedCurrent’s flagship OrderWise platform will complement VitalHub’s existing Patient Flow software suite, offering a comprehensive solution and bolstering VitalHub’s market position. This is expected to boost new business opportunities within the expanding product portfolio.
VitalHub acquired MedCurrent from its shareholders for a net upfront consideration of C$8.3 million, following working capital adjustments of C$3.7 million. The total consideration also includes a future conditional earn-out of up to C$21.9 million, subject to exchange rate adjustments, payable in cash and based on annual performance over 36 months. For the eight-month period ending Aug. 31, 2024, MedCurrent reported estimated revenue of C$2.7 million. As of the acquisition closing date on Oct. 7, 2024, MedCurrent had an annualized recurring revenue of approximately C$2.3 million.
Based in Toronto, MedCurrent aims to enhance care quality and control health system expenses through its cutting-edge Clinical Decision Support (CDS) platform. This platform integrates real-time, evidence-based guidelines at the point of care to improve health outcomes and healthcare delivery. MedCurrent supports more than 80 organizations across Canada, the United Kingdom, the United States and Australia, with a team of 15 members in Canada and the U.K.
VitalHub provides technology to health and human services providers including hospitals, regional health authorities, mental health, long-term care, home health and community and social services.
Shares of VitalHub (TSX:VHI) last traded at C$9.03 and its stock has climbed 121.32 per cent higher since the year began.
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(Top photo: VitalHub)
