Allied healthcare operator Healthia (ASX:HLA) has continued its clinic acquisition spree, this week announcing the addition of 4 hand therapy clinics in Sydney.
Since listing on the ASX in September 2018, Healthia has now acquired 26 new clinics across it’s podiatry and physio businesses with the latest round of clinics forecast to deliver annual earnings of $775,000, having been acquired for a total of $3.5m via a combination of cash and equity.
“The 4 speciality hand therapy clinics, which provide physiotherapy and occupational therapy for the hand and upper limb, complement our existing 9 Extend Hand Therapy clinics in Queensland,” said Tony Ganter, Healthia CEO of Physiotherapy.
“We are pleased that we are able to expand these speciality services across the group.”
These new acquisitions maintain Healthia’s momentum having last month acquired 6 podiatry and 3 physiotherapy clinics, further fueling their national expansion since listing.
Healthia’s acquisitions have been funded by a $37 million cash facility but one factor which has made partnership with Healthia attractive is the company’s unique Clinic Class Share model where partner-operators gain equity in the company’s national operations.
With cash consideration for the 26 clinic acquisitions since listing totalling $13.55 million, the company has flagged further national expansion plans for the Group which also operate DBS Medical Supplies and iOrthotics – one of Australia’s largest orthotics producers.
Canaccord has a price target on HLA of $1.45 (currently $1.08). However, price targets are speculative and investors should seek professional financial advice for further information if considering this stock for their portfolio.