WELL Health Arranges C$200 Million Senior Secured Credit Facilities with The Royal Bank of Canada and a Syndicate of Lenders for its Proposed Acquisition of MyHealth

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WELL Health Arranges C$200 Million Senior Secured Credit Facilities with The Royal Bank of Canada and a Syndicate of Lenders for its Proposed Acquisition of MyHealth

PR Newswire

  • In conjunction with WELL's proposed acquisition of MyHealth Partners Inc. ("MyHealth"), the Royal Bank of Canada ("RBC") along with a syndicate of lenders have provided a commitment for C$140 million senior secured credit facilities and an additional C$60 million uncommitted accordion feature.
  • This debt financing will be used to fund WELL's proposed acquisition of MyHealth in addition to future acquisitions. The debt is secured exclusively by the assets of MyHealth.

VANCOUVER, BC, June 8, 2021 /PRNewswire/ - WELL Health Technologies Corp. (TSX: WELL) ("WELL" or the "Company"), a company focused on consolidating and modernizing clinical and digital assets within the healthcare sector, is pleased to report that it has obtained a debt financing commitment of C$140 million and an additional C$60 million uncommitted accordion for further expansion potential, provided by RBC, the Bank of Montreal, HSBC Bank Canada, The Toronto-Dominion Bank, ICICI Bank Canada and Laurentian Bank of Canada (collectively the "Lenders") in support of its proposed acquisition of MyHealth Partners Inc. ("MyHealth"). RBC acted as the Lead Arranger, Sole Bookrunner, and Administrative Agent on the financing.

Hamed Shahbazi, Chairman and CEO of WELL commented, "We are grateful for the support we are receiving from RBC and the impressive list of leading banks that are participating in the lending syndicate.  We believe this support is not only reflective of their confidence in the proposed acquisition of MyHealth, but also in the acquistive growth potential of MyHealth once the acquisition is completed.  MyHealth has successfully completed 25 acquisition transactions for a combined 33 independent clinics over the past eight years. We are committed to continuing to support MyHealth's accretive acquisition program, adding another catalyst engine to WELL's future growth potential." 

The committed credit facilities (the "Credit Facilities") will comprise a revolving facility in the amount of C$90 million and a term facility in the amount of C$50 million.  The Lenders have also provided WELL with an uncommitted accordion facility in the amount of C$60 million to help finance future acquisitions by WELL and other opportunities. The Credit Faciilties will mature in four years  and carry a floating interest rate based on market terms that is set to reduce as MyHealth's leverage decreases. The terms of the Credit Faciilties are consistent with similar syndicated credit arrangements across Canada and contain customary provisions with respect to mandatory repayments and amortization, financial and other covenants and the supporting security structure. Provision of the Credit Facilities will be subject to, amongst other items, settlement of a credit agreement and delivery and satisfaction of customary closing conditions by WELL to the Lenders.

Eva Fong, CFO of WELL adds, "We are delighted to bring on such a strong calibre of institutions into this debt financing. The Company is extremely well capitalized to execute on its future acquisition growth plans with this credit facility in addition to WELL's cash on hand and CRH Medical's previously announced upsized US$300 million credit facility provided by a syndicate of  lenders which include some of the largest financial institutions in the world."

Per: "Hamed Shahbazi"
Hamed Shahbazi
Chairman, CEO, and Director

About WELL Health Technologies Corp.

WELL is an omni-channel digital health company whose overarching objective is to empower doctors to provide the best and most advanced care possible while leveraging the latest trends in digital health. As such, WELL owns and operates primary and executive healthcare clinics in both Canada and the US, operates a global digital Electronic Medical Records (EMR) business serving thousands of healthcare clinics and health systems of all sizes and operates a multi-national portfolio of telehealth services which includes one of the largest telehealth service providers in Canada. WELL is also a provider of digital health, billing and cybersecurity related technology solutions. WELL's wholly owned subsidiary CRH Medical provides various products and services that have supported thousands of Gastroenterology physicians in the US. WELL is an acquisitive company that follows a disciplined and accretive capital allocation strategy. WELL is publicly traded on the Toronto Stock Exchange under the symbol "WELL". To access the Company's Canadian telehealth service, visit: tiahealth.com, and for corporate information, visit: www.well.company.

About MyHealth

MyHealth is one of Canada's largest and fastest growing primary and specialty healthcare providers with a network of diagnostic centers across Ontario. MyHealth's experienced team of physicians and healthcare professionals provide exceptional cardiology, x-ray, ultrasound, mammography, bone density related diagnosis. MyHealth operates a "bricks and clicks" model which leverages its telehealth platform to drive referral opportunities to its brick-and-mortar diagnostic business. MyHealth also operates the brands MyDoctorNow, CardiologyNow and RadiologyNow. MyHealth recognizes employees as its most valuable asset and focuses its talent development strategy around employee engagement, empowerment and continuous training. As such MyHealth is the recipient of numerous awards including Accreditation with Commendation from Accreditation Canada, Great Place to Work (since 2017), the Globe and Mail's Top Growing Company (2019 and 2020), Waterstone Canada's Most Admired Corporate Culture 2020, Maclean's Magazine's list of Canada's Best Managed Companies 2018, 2019, 2020, 2021 and the 2021 Consumer Choice Award for best Diagnostic Imaging Clinics in the Greater Toronto Area.

Forward Looking Statements

Certain statements in this news release related to the Company are forward-looking statements and are prospective in nature including: statements regarding the terms of the Credit Facilities, including the amount of the Credit Facilities, use of proceeds therefrom, closing conditions and related statements, and the growth potential of MyHealth and WELL. Forward-looking statements are not based on historical facts, but rather on current expectations and projections about future events and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. These statements generally can be identified by the use of forward-looking words such as "may", "should", "could", "would", "intend", "estimate", "plan", "anticipate", "expect", "believe" or the negative thereof or similar variations. There are numerous risks and uncertainties that could cause actual results and the Company's plans and objectives to differ materially from those expressed in the forward-looking statements, including: risks that WELL and/or the Commitment Parties may not be able to enter into definitive documentation on acceptable terms or at all; business disruption risks relating to COVID-19; regulatory risks, including those related to healthcare, privacy and data security; and other risks outlined in the Company's publicly filed documents available on SEDAR. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking statements are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, the Company does not intend to update these forward-looking statements.

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SOURCE WELL Health Technologies Corp.

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