- Leveljump Healthcare (JUMP) has signed a term sheet to acquire a U.S.-based telehealth business for a proposed purchase price of US$7.13 million
- Definitive agreements are expected to be completed and executed by mid-October with closing targeted for the first half of December
- Closing will be subject to regulatory approvals and Leveljump obtaining financing to fund the cash balance of the purchase price
- The company being acquired has grown its client base to over 20 facilities and physician practices with revenue for 2021 approaching US$6 million
- The company is focused on remote medical care, particularly for rural and underserviced communities
- LevelJump Healthcare Corp. (JUMP) is unchanged, trading at C$0.17 per share at 2:45 pm ET
- Leveljump Healthcare (JUMP) is a healthcare company focused on profitable telehealth solutions
- LevelJump Healthcare Corp. (JUMP) is unchanged, trading at C$0.17 per share at 2:45 pm ET
Leveljump Healthcare (JUMP) has signed a term sheet to acquire a U.S.-based telehealth business for a proposed purchase price of US$7.13 million.
Key personnel from the acquired telehealth company will be required to enter into exclusive three-year employment agreements to build the business.
Definitive agreements are expected to be completed and executed by mid-October with closing targeted for the first half of December.
Closing will be subject to required regulatory approvals including the TSXV, satisfactory due diligence and obtaining financing to fund the cash balance of the purchase price.
Through its patented technology and telehealth services, the company LevelJump is acquiring has grown its client base to over 20 facilities and physician practices with annual revenues for 2021 approaching US$6 million and EBITDA of almost $1 million. 2020 revenues were US$4,716,416 with net income of US$711,042. Targetco had US$2,130,940 in assets and US$1,485,860 in liabilities as of December 31, 2020.
The company is located in the U.S. mid-west and has been in operation for seven years. It is focused on remote medical care, particularly for rural and underserviced communities. The hospitals and patients in these rural communities often are left without access to specialists and in some cases do not have access to 24-hour emergency care.
The company has created its own examination cart that can be easily utilized by the onsite doctor to provide real-time data to the remote specialist. Specialist or ER consultations via video conferencing. In many cases, a general GP or ER doctor or nurse will utilize the company’s medical specialists while treating the patient.
In addition to continued growth in its home state, Leveljump believes it can expand services to nearby states. There is also a need for teleradiology amongst this companies’ clients that can be met by Leveljump’s subsidiary CTS providing opportunities for increased revenue once the acquisition is closed.
“We are very excited to announce our intention to acquire this exciting business,” said Mitch Geisler, CEO. “Combined with our other recently announced acquisitions in Ontario, our combined gross revenue will be close to $17 million with EBITDA of over $2 million. We feel strongly that this telehealth business can be expanded rapidly over the next few years and that there will be many cross-marketing opportunities for our existing business.”
Leveljump Healthcare (JUMP) is a healthcare company focused on profitable telehealth solutions as well as primary care services in radiology. The company’s subsidiary, CTS, provides off-site radiology readings for hospital emergency rooms and is a leader in the teleradiology space in Ontario. As part of its growth strategy, Leveljump is acquiring healthcare companies that have strong revenue and cash flow, with room for organic growth.
LevelJump Healthcare Corp. (JUMP) is unchanged, trading at C$0.17 per share at 2:45 pm ET.
