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Healthia (ASX:HLA) up on Rothwell Physiotherapy buy

Health Care
ASX:HLA
16 September 2021 12:00 (AEST)
Healthia (ASX:HLA) - CEO, Wesley Coote

Source: Healthia

Healthia (HLA) shares have enjoyed a 10 per cent rise after reporting a $1.62 million acquisition of Queensland’s Rothwell Physiotherapy.

The ASX-lister announced to the market it had entered a binding agreement to acquire the family-owned and operated physiotherapy business, which provides physiotherapy and exercise physiology to adults and children.

The acquisition is tipped to bring in $2.13 million in additional revenue and contribute $0.36 million to earnings before interest, taxes, depreciation and amortisation (EBITDA).

Healthia will pay $1.3 million as upfront consideration for the business, including $0.32 million in clinic class shares.

It is expected the acquisition will be completed on or before November 30 2021, subject to property leases and customary conditions.

Healthia Managing Director Wesley Coote said the company was looking forward to bringing Rothwell Physiotherapy into the group.

“The addition of Rothwell Physiotherapy is in line with Healthia’s stated growth strategy and brings us one step closer to being the number one provider of physiotherapy services in Australia,” he said.

“We have a strong acquisition pipeline in place for this financial year underpinned by industry participants placing greater value on the support and stability that a larger group such as Healthia, can provide.”

Healthia shares were up 10.3 per cent to trade at $1.99 at 1:52 pm AEST.

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