PROTECH HOME MEDICAL PROVIDES CORPORATE UPDATE AS COMPANY POSITIONED TO ACCELERATE GROWTH ROBUST BALANCE SHEET TO ALLOW FOR AGGRESSIVE M&A STRATEGY
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN.
• As the COVID-19 pandemic continues to evolve we are pleased to report that our operations continue to perform soundly, with demand remaining elevated and supply chain stability continuing through the third quarter. In particular:
“Operating strength continued into the third quarter, as our supply chain remained resilient, and momentum continued to build across the business, as an acceleration to treating patients in the home provides us with ample opportunity in the markets in which we currently serve” commented Greg Crawford, CEO, and Chairman of Protech. “We are proud to be on the front-lines helping relieve the strain on the traditional healthcare system and stand ready to assist in the event of a 2nd wave of COVID-19.”
Bought-Deal Offering & Private Placement
As press released on June 29, 2020, the Company announced the closing of a $31.8 million short form prospectus offering, including full exercise of the over-allotment option, and concurrent private placements.
“This extremely successful offering provides an opportunity for Protech to accelerate its growth trajectory, with the company having the strongest balance sheet in its history” commented Greg Crawford, CEO and Chairman of Protech. “By participating in the private placement, Mr. Greenberg and I were thrilled to have participated alongside existing and new shareholders in the offering and believe this a testament to how we feel about Protech’s prospects moving forward. We are also delighted by the level of institutional support that participated in the financing as a whole and believe this will serve our shareholder base well. With over $41 million in cash, we have extraordinary financial flexibility when it comes to growing our business and will be aggressively exploring opportunities. We are well positioned to execute on our three-pronged growth strategy and look forward to updating investors as we continue to make additional progress.”
We are focused on companies with stable revenue generation and consistent EBITDA margins, which we will focus on increasing sales by expanding product offerings, decrease COGS through purchasing volume, and drive efficiencies across the operations.
Additionally, given our robust balance sheet, we will not shy away from larger accretive transactions as compared to the size of our recent acquisitions, that are designed to significantly add to our presence in a market we serve or potentially even open a new market entirely.