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Tech

CloudMD sells non-core US assets to Constellation Software division

CloudMD Software & Services Inc. (CSE:DOC) announced on Tuesday that it has closed the sale of its US based Electronic Medical Records (EMR), Practice Management (PM), and Revenue Cycle Management (RCM) assets to a subsidiary of N Harris Computer Corporation, an operating group of Constellation Software Inc. (TSX:CSU), for about US$6.3 million.

The health services company said the divestiture follows the sale of CloudMD’s Canadian EMR business in October 2022.

“We continue to successfully execute our strategy of focusing on our higher growth and margin businesses while surfacing value from non-core assets in our portfolio,” CloudMD Software & Services CEO Karen Adams said in a statement.

“This will further enable us to deliver on our path to profitability with deployment of capital and resources to high growth opportunities,” she added.

Adams also noted that the company is focused on growing its core Health and Wellness Services business and executing on its expanded pipeline in the company’s Health and Productivity Solutions business, particularly its remote patient monitoring platform.

Shares of CloudMD rose 4% to $0.14 in late-morning trading on Tuesday but have slid 26% year to date.

Contact Sean at sean@proactiveinvestors.com

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