To acquire a home care services company The Target, home health care industry company NOVA LEAP HEALTH CORP. has carried out a definitive agreement on September 4, 2020. Located in the South Central region of the United States, The Target is a small company which posted the unaudited revenues of $1.032 million and EBITDA of $66,000 for the year ended December 31, 2019.
The terms of the Agreement includes the acquisition transaction with total amount of $250,000. $200,000 has been made payable with cash on closing of the transaction and $50,000 to paid by way of a promissory note. Promissory note would be repayable over a fifteen-month period with interest rate of 4% per annum. Nova Leap Health Corp. will secure the promissory note with the use of corporate guarantee and stays subordinated to Nova Leap’s primary commercial lender. Acquisition will be closined depending on the final due diligence and it is at arm’s length and no one is liable to pay finder’s fees.
Nova Leap President & CEO Chris Dobbin said, “Our expansion into the South-Central region a year ago has gone very well.” He added further, “We view the South-Central region as a growth area for us similar to the significant growth we have experienced in New England.”
Nova Leap is an acquisitive home health care services company with a 2019 TSX Venture 50 rank.