EXCLUSIVE: Quipt Strengthens Business Momentum With Acquisition In Illinois For $2M

In-home monitoring and disease management service provider Quipt Home Medical Corp (NASDAQ: QIPT) has acquired a business with operations in Illinois.

What Happened: Quipt acquired the DME operation of the business for approximately $1.7 million in cash and the real estate for $0.5 million. 

The transaction, post-integration, will increase Quip's annual revenues by approximately $2.5 million and adjusted EBITDA by $0.6 million.

Why It Matters: The acquisition adds a strategic location servicing Central Illinois, a heavily weighted respiratory product mix, and over 3,700 active patients. 

The deal also provides Quipt insurance contracts. The business has a diverse payor mix and suite of products focusing on respiratory care, representing over 85% of the mix.

The acquisition provides immediate cross-selling and patient growth opportunities and adds patients to Quip's existing subscription-based resupply program. 

"Since July, we have now completed six acquisitions with combined revenues of over $16 million and added over 30,000 patients. In this short period of time, we have amassed infrastructure in 4 new states and further penetrated existing states such as Illinois," said Greg Crawford, Chairman, and CEO of Quipt. 

The Company says it has over $30 million in cash and a $20 million undrawn credit facility to work through the acquisition pipeline.

Price Action: QIPT shares closed 2.70% higher at $$5.33 on Monday.

Photo by Capri23auto from Pixabay