VitalHub Corp. Announces Acquisition of Coyote Software Corporation
TORONTO, Jan. 23, 2023 (GLOBE NEWSWIRE) -- VITALHUB CORP. (TSX: VHI) (OTCQX:VHIBF) (the “Company” or “VitalHub”) is pleased to announce today that it has acquired (the “Acquisition”) Coyote Software Corporation (“Coyote”), a company incorporated and existing under the laws of the Province of Ontario.
Coyote specializes in tailored software solutions that streamline the workflows of health and social service organizations. The solutions offered include “CaseWORKS”, an enterprise-class case management software, as well as “FormWORKS”, “ScanWORKS”, and “ShareWORKS”, which are solutions geared to forms automation, records scanning, and document sharing, respectively. Coyote proudly provides these services to over 80 health and social service organizations empowering thousands of daily users throughout Canada and the U.S.
VitalHub acquired Coyote from its shareholders for a purchase price of $2,373,528. The purchase price was satisfied by a cash payment of $2,265,5281, a portion of which will be held in escrow for a six (6) month period following closing of the Acquisition, and the delivery of 38,163 common shares of VitalHub, at a deemed price of $2.83 per share, to the principal shareholder of Coyote. These shares are subject to a four month hold from their date of issuance.
For the 12-month period ending November 30, 2022, Coyote had estimated revenue of approximately $1,600,000 of which more than $1,100,000 was identified to be recurring in nature from its current 80+ customer base (these amounts are unaudited).
“With this Acquisition, we are excited to expand upon our robust suite of offerings specifically servicing the Canadian marketplace, together with our BCare, TREAT, Clarity, and Roxy solutions. We look forward to welcoming Coyote’s team members and CaseWORKS solution to the Company,” said Dan Matlow, CEO of VitalHub Corp. “We currently have over 250 customers using our health and social service solutions across Canada, providing further ratification of our leadership in this sector and the strong market demand for our products. This acquisition serves to further advance our strategic M&A objectives, bringing new product synergies that can be cross sold into our existing install base, alongside an existing strong base of recurring revenue customers.”
Kirk Were, Managing Partner of Coyote, states “Our goal and passion has been to provide superior solutions that transform the work for frontline workers, administrators, and managers in health and social service agencies. We are proud of the software we have created, appreciate the clients and employees that we have worked with, and are excited about the next chapter for Coyote under the VitalHub banner.”
Founded in 1992 and based in Burlington, ON, Coyote Software Corporation specializes in providing software solutions to health and social service organizations. Coyote offers a full range of software development, business consulting and systems integration services tailored to the unique needs of organizations supporting our communities through the delivery of health and social services. Coyote serves 80+ health and social based organizations throughout Canada and the U.S. with its 9 team members based in the Greater Toronto Area.
Software for Health and Human Services providers designed to simplify the user experience and optimize outcomes.
VitalHub provides technology to Health and Human Services providers including Hospitals, Regional Health Authorities, Mental Health, Long Term Care, Home Health, Community and Social Services. VitalHub solutions span the categories of Electronic Health Record (EHR), Case Management, Care Coordination & Optimization, and Patient Flow & Operational Visibility solutions.
The Company has a robust two-pronged growth strategy, targeting organic growth opportunities within its product suite, and pursuing an aggressive M&A plan. Currently VitalHub serves more than 400 clients across Canada, USA, UK, Australia, the Middle East, and Europe.
VitalHub is based in Toronto, Canada, with an offshore development hub in Sri Lanka. The VitalHub team comprises more than 300 team members globally. The Company is publicly traded on the Toronto Stock Exchange (TSX) under the symbol "VHI" and on the OTC Markets OTCQX Exchange under the symbol “VHIBF”.
Chief Executive Officer, Director
This press release includes forward-looking statements regarding the Corporation and its business, which may include, but is not limited to, statements with respect to the appointment of a new directors. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "is expected", "expects", "scheduled", "intends", "contemplates", "anticipates", "believes", "proposes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Such statements are based on the current expectations of the management of each entity and are based on assumptions and subject to risks and uncertainties. Although the management of each entity believes that the assumptions underlying these statements are reasonable, they may prove to be incorrect. The forward-looking events and circumstances discussed in this release, may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting the companies, including risks regarding the technology industry, failure to obtain regulatory or shareholder approvals, market conditions, economic factors, the equity markets generally and risks associated with growth and competition. Although the Corporation has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking statement can be guaranteed. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and the Corporation undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
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