Mednow Inc (TSX-V:MNOW, OTCQB:MDNWF) has announced agreements to acquire both Liver Care Canada Inc and London Pharmacare Inc.
The company said Liver Care Canada and London Pharmacare generated a combined C$21.3 million in revenue and C$2.1 million in gross profit during the last fiscal year from selling prescription medications and diagnostic services to its patients.
“The share purchase agreements with Liver Care Canada and London Pharmacare further demonstrate the continuation of our acquisition strategy to continue to expand nationally and grow organically,” Mednow CEO Karim Nassar said in a statement.
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“Over the last ten months, since our initial public offering in March 2021, Mednow has continued on its growth trajectory by acquiring companies with aggregate revenue in their last fiscal year of approximately C$33.6M and C$3.3M in total gross profit, while building out a national, digital pharmacy,” Nassar added.
In consideration for its acquisition of Liver Care Canada, Mednow will make an initial cash payment of C$65,000 and two subsequent earn-out payments in the amount of 0.1x of the revenue generated by Liver Care Canada in each of its 2022 and 2023 financial years.
London Pharmacare, meanwhile, will be acquired for an initial cash payment of C$585,000 and two subsequent earn-out payments in the amount of 0.1x of the revenue generated by London Pharmacare in each of its 2022 and 2023 financial years.
The company noted that London Pharmacare increases its specialty pharmacy services and expertise to include hepatology and the treatment of liver disease.
Liver Care Canada is focused on the treatment of liver disease, with its eight-clinic network providing access to hepatologists, gastroenterology specialists, specialty nurse practitioners, registered nurses, and mobile care services.
Mednow is a healthcare technology company offering virtual access with exceptional care. Designed with access and quality care in mind, Mednow.ca provides virtual pharmacy and telemedicine services, as well as doctor home visits, with convenience and through an interdisciplinary approach to healthcare that is focused on the patient experience.
The company’s services include free at-home delivery of medications, a user-friendly interface for easy upload, transfer and refill of prescriptions, access to healthcare professionals through an intuitive chat experience, a specialized PillSmart system that packages prescriptions and vitamins by date and time, and doctor consultations.
Contact Sean at sean@proactiveinvestors.com