- WELL has completed the acquisition of Atlanta based CarePlus Management ("CarePlus") through its CRH Medical subsidiary
- The acquisition of CarePlus provides CRH with a platform for provider recruitment and locum tenens staffing. The acquisition will also expand CRH's US geographical footprint of Anesthesia providers and add revenue cycle management (RCM) services.
- CarePlus positions CRH to provide more shared services to other US based business interests for WELL and increases its 2023 annual revenue guidance to be between $740 million and $760 million CAD.
VANCOUVER, BC and ATLANTA, Ga., July 13, 2023 /PRNewswire/ - WELL Health Technologies Corp. (TSX: WELL) (OTCQX: WHTCF) (the "Company" or "WELL") — a practitioner focused digital health company that is positively impacting health outcomes by tech-enabling healthcare providers and their patients globally, is pleased to announce its wholly owned subsidiary, CRH Medical ("CRH"), has completed the acquisition of CarePlus Management ("CarePlus") (the "Transaction"). In conjunction with this Transaction, WELL increases its annual revenue guidance for 2023 to be between $740 million and $760 million and re-iterates its annual Adjusted EBITDA guidance to exceed 10% annual growth.
Headquartered in Atlanta, Georgia, CarePlus has three primary businesses: (i) RADAR Healthcare Providers ("RADAR") which provides staffing and locum tenens services focused on anesthesia providers; (ii) Anesthesia services division, similar to CRH's clinical anesthesia services and (iii) Premier Choice Billing ("Premier Choice") which provides billing, revenue cycle management (RCM) and collection services for healthcare entities.
Jay Kreger, CEO of CRH Medical commented, "We are very pleased to welcome CarePlus to the WELL family. This acquisition not only grows and strengthens CRH's existing business but also positions CRH to serve as a shared service for provider recruitment and billing services to the other US based businesses in WELL's portfolio. The CarePlus platform adds significant upside for growth and diversification beyond clinical anesthesia services to include recruitment and revenue-cycle management services. We look forward to helping tech enable the healthcare providers that use and leverage the platform".
Hamed Shahbazi, Founder and CEO of WELL Health commented, "As a healthcare provider focused company, we're thrilled to acquire a successful and profitable recruitment platform, built and operated by a best-in-class recruitment team. CarePlus will help CRH further optimize anesthesia services, streamline staffing, and enhance revenue cycle management, empowering ASC operators and healthcare providers to focus on providing outstanding patient care. This acquisition marks a milestone in our journey for continued growth and diversification of CRH's business in specialties beyond gastroenterology."
RADAR is CarePlus's full-service recruitment company that provides locum tenens and permanent placement anesthesia staffing solutions. RADAR specializes in Certified Registered Nurse Anesthetist (CRNA) and anesthesiologist recruitment and placement for its network of customers which include provider groups, hospitals, and ASCs across 29 states. With a database of over 70,000 anesthesia providers to leverage, RADAR has served over 150 clients to date, and is well positioned to further increase its footprint of providers and clients. CRH intends to expand the scope of RADAR to other specialties and healthcare professionals, such as Physician specialists, primary care, and nursing professionals. The majority of CarePlus's revenue is generated from the RADAR business division.
CarePlus's Anesthesia division operates in 18 ASC locations including wholly owned, majority owned, and management contract operated entities across nine states, including five states, South Carolina, Mississippi, Alabama, South Dakota, and Illinois, in which CRH previously did not provide such services. With CarePlus, CRH now provides anesthesia services to 142 ASCs across 23 states.
Premier Choice is a growing RCM business that services owned entities and management services entities. Premier Choice offers potential synergistic opportunities to provide RCM and collection services to CRH's existing anesthesia services.
Last month, CRH disclosed that it had made significant progress in its efforts to digitize the CRH business including the completion of a strategic investment in Graphium Health a leading EMR focused on Anesthesia practices. CRH recently completed a pilot project with Graphium that demonstrated its ability to further tech-enable CRH's providers resulting in clear improvements to time to billing and accounts receivable performance. CRH's goal is to tech enable healthcare providers that participate in the RADAR business using Graphium and other digitization initiatives it is deploying in its own business.
The Transaction was fully funded by CRH's cash on hand and credit facilities. Investors in CarePlus included Atlanta, Georgia based firms Fulcrum Equity Partners, a growth equity fund and Level Capital Partners, a private investment firm focused on the healthcare services and technology-enabled business services. Brentwood Capital Advisors acted as advisors to CarePlus.
WELL HEALTH TECHNOLOGIES CORP.
Per: "Hamed Shahbazi"
Chief Executive Officer, Chairman and Director
About WELL Health Technologies Corp.
WELL's mission is to tech-enable healthcare providers. We do this by developing the best technologies, services, and support available, which ensures healthcare providers are empowered to positively impact patient outcomes. WELL's comprehensive healthcare and digital platform includes extensive front and back-office management software applications that help physicians run and secure their practices. WELL's solutions enable more than 28,000 healthcare providers between the US and Canada and power the largest owned and operated healthcare ecosystem in Canada with more than 130 clinics supporting primary care, specialized care, and diagnostic services. In the United States WELL's solutions are focused on specialized markets such as the gastrointestinal market, women's health, primary care, and mental health. WELL is publicly traded on the Toronto Stock Exchange under the symbol "WELL" and on the OTC Exchange under the symbol "WHTCF". To learn more about the Company, please visit: www.well.company
SOURCE WELL Health Technologies Corp.