Quipt Home Medical Corp. (the “
Company” or
“
Quipt”) (NASDAQ: QIPT; TSXV: QIPT), a U.S. based
home medical equipment provider, focused on end-to-end respiratory
care, today announced it has terminated its previously announced
“at-the-market” (“
ATM”) equity program put in
place pursuant to an equity distribution agreement dated May 15,
2023 by and among the Company, Canaccord Genuity and Beacon
Securities Limited. The Company has not made use of this ATM and,
has elected to terminate the ATM as a result of market conditions
and to limit uncertainty and unfavorable dilution for its
shareholders during this period of global market uncertainty.
Greg Crawford, the Company’s CEO, commented,
“Given our robust balance sheet with modest leverage, strong
operating cash flow generation and track record of careful capital
deployment with a focus on enhancing long-term shareholder value,
we opted to discontinue the ATM program to limit uncertainty and
potential unfavorable dilution for our shareholders,” said Greg
Crawford, CEO and Chairman of Quipt. “On the heels of our
exceptional fiscal Q2 2023 financial results, the installation of
the ATM was done to economically diversify our potential sources of
capital to fund our long-term acquisition strategy focused on
accretive acquisition opportunities. As we previously announced,
the Company had no current intention of making use of the ATM given
the significant liquidity profile we have, and believed it was a
prudent tool to have in place for the future if such a time arose
where it made sense. Given the response from shareholders, and
significant disconnect between our valuation and fundamentals of
the business, as well as the fact that the Company does not require
the ATM for capital, we have come to the conclusion that the ATM
program is not appropriate for the Company and have made the
decision to immediately terminate it. The conversations that we
have had with many of our shareholders have been incredibly
constructive, and the termination shows our willingness to consider
our shareholders’ concerns and act accordingly. Our business
continues to perform very strongly, and we are committed to
executing on our long-term strategic growth strategy with the ample
liquidity access we have.”
This press release does not constitute an offer
to sell or the solicitation of an offer to buy securities, nor will
there be any sale of the securities in any province, state or
jurisdiction in which such offer, solicitation or sale would be
unlawful prior to the registration or qualification under the
securities laws of any such province, state or jurisdiction.
ABOUT QUIPT HOME MEDICAL
CORP.
The Company provides in-home monitoring and
disease management services including end-to-end respiratory
solutions for patients in the United States healthcare market. It
seeks to continue to expand its offerings to include the management
of several chronic disease states focusing on patients with heart
or pulmonary disease, sleep disorders, reduced mobility, and other
chronic health conditions. The primary business objective of the
Company is to create shareholder value by offering a broader range
of services to patients in need of in-home monitoring and chronic
disease management. The Company’s organic growth strategy is to
increase annual revenue per patient by offering multiple services
to the same patient, consolidating the patient’s services, and
making life easier for the patient.
Reader Advisories
There can be no assurance that any of the
potential acquisitions in the Company’s pipeline or in negotiations
will be completed as proposed or at all and no definitive
agreements have been executed. Completion of any transaction will
be subject to applicable director, shareholder, and regulatory
approvals.
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.
Forward-Looking Statements
Certain statements contained in this press
release constitute "forward-looking information" as such term is
defined in applicable Canadian securities legislation. The words
"may", "would", "could", "should", "potential", "will", "seek",
"intend", "plan", "anticipate", "believe", "estimate", "expect",
"outlook", and similar expressions as they relate to the
Company, including: the Company anticipated capital needs and
sufficiency of liquidity resources; are intended to identify
forward-looking information. All statements other than statements
of historical fact may be forward-looking information. Such
statements reflect the Company's current views and intentions
with respect to future events, and current information available
to the Company, and are subject to certain risks, uncertainties
and assumptions. Many factors could cause the actual results,
performance or achievements that may be expressed or implied by
such forward-looking information to vary from those described
herein should one or more of these risks or uncertainties
materialize. Examples of such risk factors include, without
limitation: risks related to credit, market (including equity,
commodity, foreign exchange and interest rate), liquidity,
operational (including technology and infrastructure),
reputational, insurance, strategic, regulatory, legal,
environmental, and capital adequacy; the general business and
economic conditions in the regions in which the Company operates;
the ability of the Company to execute on key priorities, including
the successful completion of acquisitions, business retention,
and strategic plans and to attract, develop and retain key
executives; difficulty integrating newly acquired businesses;
the ability to implement business strategies and pursue business
opportunities; low profit market segments; disruptions in or
attacks (including cyber-attacks) on the Company's information
technology, internet, network access or other voice or data
communications systems or services; the evolution of various types
of fraud or other criminal behavior to which the Company is
exposed; the failure of third parties to comply with their
obligations to the Company or its affiliates; the impact of new
and changes to, or application of, current laws and regulations;
decline of reimbursement rates; dependence on few payors;
possible new drug discoveries; a novel business model; dependence
on key suppliers; granting of permits and licenses in a highly
regulated business; the overall difficult litigation environment,
including in the U.S.; increased competition; changes in foreign
currency rates; increased funding costs and market volatility due
to market illiquidity and competition for funding; the
availability of funds and resources to pursue operations;
critical accounting estimates and changes to accounting
standards, policies, and methods used by the Company; the
occurrence of natural and unnatural catastrophic events and claims
resulting from such events; and risks related to COVID-19
including various recommendations, orders and measures of
governmental authorities to try to limit the pandemic, including
travel restrictions, border closures, non-essential business
closures, quarantines, self-isolations, shelters-in-place and
social distancing, disruptions to markets, economic activity,
financing, supply chains and sales channels, and a deterioration
of general economic conditions including a possible national or
global recession; as well as those risk factors discussed or
referred to in the Company’s disclosure documents filed with
United States Securities and Exchange Commission and available at
www.sec.gov, and with the securities regulatory authorities in
certain provinces of Canada and available at www.sedar.com.
Should any factor affect the Company in an unexpected manner, or
should assumptions underlying the forward-looking information
prove incorrect, the actual results or events may differ
materially from the results or events predicted. Any such
forward-looking information is expressly qualified in its
entirety by this cautionary statement. Moreover, the Company
does not assume responsibility for the accuracy or completeness
of such forward-looking information. The forward-looking
information included in this press release is made as of the date
of this press release and the Company undertakes no obligation to
publicly update or revise any forward-looking information, other
than as required by applicable law.
For further information please visit our website
at www.Quipthomemedical.com, or contact:
Cole StevensVP of Corporate DevelopmentQuipt
Home Medical Corp.859-300-6455cole.stevens@myquipt.com
Gregory CrawfordChief Executive OfficerQuipt
Home Medical Corp.859-300-6455investorinfo@myquipt.com
Quipt Home Medical (NASDAQ:QIPT)
Historical Stock Chart
From Nov 2024 to Dec 2024
Quipt Home Medical (NASDAQ:QIPT)
Historical Stock Chart
From Dec 2023 to Dec 2024
