WELL now Canada’s third largest physician-EMR company
July 10, 2019
VANCOUVER – WELL Health Technologies Corp., a company focused on consolidating and modernizing clinical and digital assets within the primary healthcare sector, is pleased to announce the closing of its previously announced acquisition of Kela Atlantic Inc. (KAI).
KAI provides SaaS (Software as a Service) based Electronic Medical Records (“EMR”) services to approximately 562 clinics in Ontario, supporting approximately 2,100 registered doctors and practitioners.
“KAI is highly accretive to WELL on both a strategic and financial basis,” said Hamed Shahbazi (pictured), chairman and CEO of WELL. “With this acquisition, WELL is now the largest provider of OSCAR EMR services in Canada, supporting approximately 852 clinics, which to our understanding positions the company as the third largest EMR services provider in Canada. We’re very pleased to welcome the talented KAI team to the WELL family.”
KAI, the recipient of Canadian Business Magazine’s 2015 Start-up of the Year, has the third largest EMR user base in Ontario and is the largest provider of OSCAR EMR services to healthcare clinics in Canada.
“We’re very pleased to be joining the WELL team and helping drive the next generation of digital health innovation in Canada,” said Arjun Kumar, co-founder and CEO of KAI Innovations. “We’re also looking forward to continuing to support the OSCAR community and ensuring that this community continues to grow and thrive as the industry changes with WELL’s support.”
The aggregate purchase price for KAI was approximately $10.75 million, consisting of $6 million paid in cash upon closing of the acquisition; $2 million paid in WELL shares at a price of approximately $0.705 per share; and cash payments of $2.75 million to be paid in the first year after closing.
In addition, WELL will pay a conditional earn-out based on overall operating performance of up to $7 million.
OSCAR, an acronym for “Open Source Clinical Application Resource,” is a leading open source based EMR software that was developed by McMaster University.
WELL is a unique company that operates Primary Healthcare Facilities as well as a significant EMR or Electronic Medical Records business that provides SaaS EMR services to more than 4,000 doctors across Canada. WELL’s overarching objective is to empower doctors to provide the best and most advanced care possible leveraging the latest trends in digital health. In the last 12 months, WELL physicians served approximately 600,000 patient visits through its network of 19 medical clinics.