- CloudMD Software and Services (DOC) has finalized its acquisition of the largest medical directory in Canada
- The Canadian Medical Directory (CMD) contains more than 91-thousand practicing physicians
- It also has 10-thousand nurse practitioners
- The company plans to integrate the directory into its electronic medical records software
- The company’s shares are down 4.30 per cent on the day, trading at $2.45 at 11:22 a.m. EST
CloudMD Software and Services (DOC) has finalized its acquisition of the Canadian Medical Directory (CMD).
The directory contains information for 91-thousand practicing physicians and 10-thousand nurse practitioners in the country.
The telehealth company calls CMD “Canada’s leading source for profile and contact information on practicing physicians, specialists and nurse practitioners, across the country.”
The directory is also used as a reference tool used by clinics, hospitals, medical placement firms, pharmaceutical companies, and manufacturers and distributors of medical equipment and supplies.
The company plans to integrate the CMD database into its existing Juno EMR, billing, virtual care and telehealth platforms, as well as iMD Health’s educational resource databank.
Under terms of the agreement, CloudMD will pay an aggregate consideration of approximately C$2.037 million for 100 per cent of the assets and business of CMD.
Of that purchase price, approximately $1.42 million will be in the form of shares, as well as a performance-based earnout of $368-thousand, also payable in shares. All shares issued will be deemed to have a price of $2.47.
There will also be a $250-thousand cash payment.
Over the 12 month period ending September 30, 2020, CMD generated approximately $450-thousand revenues with earnings before interest, taxes, depreciation and amortization, all of it 100 per cent SaaS-based.
CloudMD believes there is significant opportunity to further optimize the revenue through integration and optimization.
The company’s shares are down 4.30 per cent on the day, trading at $2.45 at 11:22 a.m. EST.
