Assure Holdings Announces Early Final Payment of Neuro-Pro Monitoring Acquisition
DENVER, Dec. 30, 2020 (GLOBE NEWSWIRE) -- Assure Holdings Corp. (the “Company” or “Assure”) (TSXV: IOM; OTCQB: ARHH), a provider of intraoperative neuromonitoring services (“IONM”), is pleased to announce that upon paying US$3,171,540 on December 24, 2020, it has made the final payment in connection with the previously announced acquisition (the “Acquisition”) of all of the assets of Neuro-Pro Monitoring (“Neuro-Pro”). The early payment of the balance of the purchase price resulted in a reduced cost to Assure of US$170,000. Accordingly, the total purchase price paid in connection with the Acquisition was US$7,529,231.
“As anticipated, Neuro-Pro has strengthened and diversified our revenue stream, substantially increased our scale in terms of number of procedures and was immediately accretive to Assure’s earnings and cash flow in 2020,” said John A. Farlinger, Assure’s executive chairman and CEO. “In addition, we further developed important relationships that Neuro-Pro originated with some of the most prestigious spine surgeons in the Dallas Ft. Worth area. These introductions have accelerated our expansion in Texas and drove the initiation of clinical research projects that will highlight the value Assure provides for IONM-related efficacy, safety, cost saving and improving patient outcomes. We believe our enhanced scale and data-driven studies will help accelerate the negotiation of new in-network contracts with insurance companies.”
Farlinger added, “The final terms of the Acquisition were highly favorable from a cost of capital perspective. We are pleased that Assure shareholders have benefited from an immediately accretive transaction as well as from a reduced sale price resulting from our early payment discount.”
Farlinger concluded, “Given current dynamics in the IONM industry, we anticipate opportunities for additional M&A on favorable terms for Assure.”
Jason Papes, Neuro-Pro’s principal said, “With the scale, resources and expertise that Assure provides, we have taken advantage of opportunities to expand in Texas. In addition, the integration process was smooth, and we have benefitted from continuing education and progressive training for our clinical team that aligns with our principles, ensures advanced patient care and supports our future development plans.”
As announced on February 18, 2020, Assure acquired Neuro-Pro, one of the largest IONM companies serving the Dallas Ft. Worth metroplex.
About Assure Holdings
Assure Holdings Corp. is a Colorado-based company that works with neurosurgeons and orthopedic spine surgeons to provide a turnkey suite of services that support intraoperative neuromonitoring activities during invasive surgeries. Assure employs its own staff of technologists and uses its own state-of-the-art monitoring equipment, handles 100% of intraoperative neuromonitoring scheduling and setup, and bills for all technical services provided. While Assure focuses primarily on supporting spinal and vascular surgeries, plans are in place to support other classes of medicine that rely on the standard of care that intraoperative neuromonitoring provides. Assure Neuromonitoring is recognized as providing the highest level of patient care in the industry and has earned the Joint Commission’s Gold Seal of Approval®. For more information, visit the company’s website at www.assureneuromonitoring.com.
About Neuro-Pro Monitoring
Established in 2012, Neuro-Pro Monitoring is a premier intraoperative neuromonitoring company serving the Dallas Ft. Worth metroplex. Over the past eight years, Neuro-Pro has grown into a distinguished organization focused on patient care, employee satisfaction and customer service. The company’s 13 technologists supporting 25 surgeons across 14 facilities. Neuro-Pro has established a reputation of excellence by the way we conduct ourselves, our business and treating our employees and customers with the highest respect.
This news release may contain “forward-looking statements” within the meaning of applicable securities laws, including, but not limited to: the effect of clinical research projects and the effect of Assure’s scale and data-driven studies; that there will be additional M&A opportunities on favorable terms; and the comments with respect to strategies, expectations, planned operations, and future actions of the Company. Forward-looking statements may generally be identified by the use of the words "anticipates," "expects," "intends," "plans," "should," "could," "would," "may," "will," "believes," "estimates," "potential," "target," or "continue" and variations or similar expressions. These statements are based upon the current expectations and beliefs of management and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties include, but are not limited to: growing competition in the IONM industry; the Company’s ability to execute its growth plans; the Company’s ability to continue to make acquisitions in the IONM industry; clinical research projects may not highlight the value Assure provides; the Company’s scale and data-driven studies may not help accelerate the negotiation of new in-network contracts with insurance companies; the uncertainty surrounding the spread of COVID-19 and the impact it will have on the Company’s operations and economic activity in general; that the Company’s actions taken during the COVID-19 health crisis will be effective; and the risks and uncertainties discussed in our most recent annual and quarterly reports filed with the Canadian securities regulators and available on the Company’s profile on SEDAR at www.sedar.com, which risks and uncertainties are incorporated herein by reference. Readers are cautioned not to place undue reliance on forward-looking statements. Except as required by law, Assure does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Scott Kozak, Investor and Media Relations
Assure Holdings Corp.
John Farlinger, Chief Executive Officer
Assure Holdings Corp.
Released December 30, 2020