CloudMD acquired Re:Function Health Group Inc., for $8 million Canadian (about $6.14 American). Re:Function which provides an integrated network of eight rehabilitation clinics in British Columbia. It provides assessments for enterprise clients, insurers, and corporations for long-term disability claims and return to work outcomes. CloudMD is a telehealth company. With the addition of Re:Function, CloudMD’s network will include 15 clinics that serve about 500,000 consumers.
Re:Function provides four key services: Re:Build (physiotherapy), Re:Think (counseling), Re:View (medical-legal consulting) and Re:Tool (vocational rehabilitation), and a team of specialists including: occupational therapists, physiotherapists, kinesiologists, psychologists, psychiatrists, and counselors. CloudMD will integrate its telemedicine solutions throughout the clinics, layering on additional allied health and specialist functions to the platform. The existing CloudMD consumer base will gain access to the clinical services offered by Re:Function through the use of the CloudMD suite of health technology tools and virtual health platform implemented within Re:Function.
Re:Function’s principle Directors, Ralph Cheesman and Mike Smith, both occupational therapists, joined CloudMD to lead the continued expansion of allied health services across North America, and together will provide a multidisciplinary, team-based approach to treatment. The acquisition will be immediately accretive to CloudMD as the Re:Function group of clinics generated approximately $5.8 million Canadian (about $4.45 American) in revenues with earnings before interest, taxes, depreciation and amortization (EBITDA) margins exceeding 19% over the last fiscal year ending January, 2020.
CloudMD is part of CloudMD Software & Services Inc. The company offers software-as-a-service (SAAS)-based health technology solutions to medical clinics across Canada. It has developed proprietary technology to deliver quality health care through the combination of connected primary care clinics, telemedicine, and artificial intelligence (AI). CloudMD currently services a combined ecosystem of more than 500 clinics located in British Columbia and Ontario.
This was reported by CloudMD on November 19, 2020.