Skylight Health Completes Acquisition of Primary Care Clinic Group, Rocky Mountain with 7 Locations in Colorado
TORONTO, ON – April 5, 2021 – Skylight Health Group Inc (TSXV:SHG; OTCQX: SHGFF) (“Skylight Health” or the “Company”), a multi-state primary care management group in the United States, is pleased to announce that further to its press release dated January 7, 2021, it has completed the deal to acquire Rocky Mountain Health Care clinics in Colorado (“Rocky Mountain Group”).
Acquisition highlights:
- Rocky Mountain Group has 7 locations in the Denver and Boulder areas;
- Immediately accretive deal strengthens organizational team with a robust, centralized corporate infrastructure; and
- Skylight Health expects forecasted annual revenue run rate to be CA$56M pending the closing of all announced acquisitions.
“I am pleased that Skylight Health has successfully closed on this exciting acquisition,” says Prad Sekar, Co-Founder and CEO of Skylight Health. “Not only does it add immediate incremental revenue and strengthen market share within Colorado, it also builds upon the infrastructure to support Skylight’s national network of clinics and continued growth. We have spent the first quarter of 2021 strengthening our leadership team with strategic hires that bolster our efforts as we grow aggressively – both organically and through acquisition – for the remainder of the year.”
Rocky Mountain Group has been operating an established and fast-growing network of primary care clinics throughout Colorado. The group is actively credentialed with many major insurance carriers. Aligned with Skylight Health’s multi-disciplinary strategy, Rocky Mountain employs a multi-disciplinary approach to patient care management. Rocky Mountain’s clinical staff mix includes physicians, nurse practitioners, and physician assistants.
Rocky Mountain Group has built a sustainable and scalable corporate infrastructure including in-house revenue cycle management, credentialing, centralized scheduling, compliance, and medical leadership. The Rocky Mountain leadership team and clinical staff will remain in place post-acquisition.
Skylight Health Group has agreed to pay a total of CA$13,518,092 in cash to acquire the full assets of Rocky Mountain. The Company will hold back approximately 20% of the cash payment to be paid in installments and potential working capital adjustments over the next 2 years.
