CloudMD Signs Definitive Agreement to Acquire Majority Interest in West Mississauga Medical Clinic
CloudMD Software & Services Inc., a telemedicine company revolutionizing the delivery of healthcare to patients, announces that is has entered into a Share Purchase Agreement to acquire a majority interest West Mississauga Medical Ltd. (“West Mississauga Medical”), a comprehensive family medicine and specialist medical clinic with 8 family doctors and 4 specialists serving over 100,000 patients. As previously announced, on June 16, 2020, the Company entered into a binding term sheet with West Mississauga Medical to acquire 51% of the business, assets and operations.
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West Mississauga Medical is a well-established medical clinic that has served its community for over 16 years and remained open throughout the COVID-19 pandemic seeing patients via telemedicine and in-person. The clinic will be integrated into the CloudMD EMR platform and its network of doctors and specialists will immediately start servicing CloudMD’s registered users and patients in Ontario.
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The acquisition will be immediately accretive to CloudMD as West Mississauga Medical generated more than $1.8 million in revenues with earnings before interest, taxes, depreciation, and amortization (EBITDA) margins exceeding 11% over the last fiscal year ending December 2019.
The acquisition is part of CloudMD’s national growth strategy which includes having well established brick and mortar clinic partners in major provinces. These clinics ultimately provide a strong, centralized patient base and footprint across the country.
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