LAFAYETTE, La., June 01, 2023 (GLOBE NEWSWIRE) — Viemed Healthcare, Inc. (the “Company” or “Viemed”) (NASDAQ:VMD and TSX:VMD.TO), a national leader in respiratory care and technology-enabled home medical equipment services, announced that it has successfully completed its previously announced acquisition of Tennessee based Home Medical Products, Inc. (“HMP”), a large regional provider of respiratory focused home medical solutions.
“I’m incredibly proud to welcome the HMP team to the Viemed family. Both organizations share a culture that focuses on high quality patient interaction in the home driven by clinical excellence and supported by technology,” said Viemed Chief Executive Officer Casey Hoyt. “Today, we immediately expand our existing reach through product, payor, and geographic diversity. We will continue our on-going efforts to ensure a seamless integration of the two organizations and to leverage our shared experience to deliver synergized growth while driving positive clinical outcomes and improving the quality of life for our patients.”
Home Medical Products, Inc. was founded in September 2004 with the mission of providing quality medical equipment solutions to help people live better lives at home. The company currently serves approximately 45,000 active patients and employs approximately 180 individuals throughout Tennessee, Alabama, and Mississippi.
The acquisition closed on June 1, 2023. Pursuant to the terms of the definitive agreement, Viemed acquired 100% of the equity ownership of HMP in exchange for approximately $28 million in cash at closing, subject to post-closing net working capital and tax related adjustments. Approximately $15 million of the purchase consideration was funded by cash on hand and approximately $13 million was funded by Viemed’s existing credit facilities. Due to the acquisition, the Company now expects to generate net revenues attributable to its core business of approximately $42.5 million to $43.5 million during the second quarter of 2023, inclusive of one month of acquired revenue during the period.
ABOUT VIEMED HEALTHCARE, INC.
Viemed is a provider of in-home medical equipment and post-acute respiratory healthcare services in the United States. Viemed’s service offerings are focused on effective in-home treatment with clinical practitioners providing therapy and counseling to patients in their homes using cutting-edge technology. Visit our website at www.viemed.com.
In 2023, the M&A market for healthcare companies continues to build on STRATEGIC opportunities in the current market. The strategic corporate buyers and private equity investors remain committed to acquiring strong businesses that are well prepared for a transaction. Across the continuum of care, these buyers and investors are looking for well established, profitable businesses and offering prime valuations and options for management.
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