VitalHub Acquires Novari Health for $43.6M
Deal News | Jul 07, 2025 | Globenewswire
VitalHub Corp. announced its acquisition of Novari Health Inc., a leading healthcare software provider, for up to $43.6 million. This acquisition comprises a cash payment and an issuance of shares, with further performance-based earnout potential. Novari Health brings sophisticated patient flow solutions with its healthcare software platform, ideal for managing referrals and surgical waitlists. The acquisition is expected to solidify VitalHub's market leadership in Canadian patient management and enable international expansion, notably in the UK. Legal advisors were Torkin Manes LLP for VitalHub and Osler, Hoskin & Harcourt LLP for Novari, with TD Securities Inc. acting as the financial advisor for Novari. This strategic acquisition is expected to yield significant synergies within the healthcare software market.
Sectors
- Healthcare Software
- Merger and Acquisition
Geography
- Canada – Both VitalHub and Novari Health are based in Canada, and the transaction primarily affects the Canadian healthcare sector.
- United Kingdom – The acquisition is intended to aid VitalHub's expansion into the UK healthcare market.
Industry
- Healthcare Software – The acquisition involves companies providing digital solutions to streamline patient care and health service delivery.
- Merger and Acquisition – The article discusses the acquisition of a company, involving financial transactions and strategic corporate restructuring.
Financials
- $43.6 million – Total consideration for the acquisition of Novari Health.
- $35.8 million – Cash payment made by VitalHub for the acquisition, subject to adjustments.
- 733,726 common shares – Shares issued by VitalHub as part of the acquisition payment.
- $5.0 million – Maximum performance-based earnout possible over two years post-acquisition.
- $12.0 million – Annual Recurring Revenue of Novari as of June 30, 2025.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| VitalHub Corp. | Acquiring Company | Company | A Canadian software company focused on health and human services globally, leveraging a robust product suite and M&A strategy. |
| Novari Health Inc. | Target Company | Company | A leading healthcare software provider based in Canada, known for patient flow solutions. |
| Torkin Manes LLP | Legal Advisor to Acquiring Company | Company | Provided legal advisory services to VitalHub during the acquisition. |
| TD Securities Inc. | Financial Advisor to Target Company | Company | Provided financial advisory services to Novari Health in the transaction. |
| Osler, Hoskin & Harcourt LLP | Legal Advisor to Target Company | Company | Provided legal advisory services to Novari Health during the acquisition. |
| Dan Matlow | CEO | Person | Chief Executive Officer of VitalHub, overseeing the company's strategic direction. |
| John Sinclair | President and CEO of Novari Health | Person | Head of Novari Health, guiding the company's growth and integration into VitalHub. |