Kovo HealthTech Spotlights Strong Organic Growth and Billing-as-a-Service Acquisition Optimization
December 17, 2021 7:00 AM EST | Source: Kovo+ Holdings Inc.
Vancouver, British Columbia--(Newsfile Corp. - December 17, 2021) - Kovo HealthTech Corporation (TSXV: KOVO) (the "Company" "Kovo") — a leader in healthcare technology and Billing-as-a-Service — is providing a year-end update on its strong organic growth and overall acquisition optimization.
"Kovo continues to be fueled by a combination of strong organic growth in our core business and a disciplined acquisition strategy which targets buying $1 of ARR for every $1 investment of debt or equity to deliver immediate accretive growth for shareholders with minimal dilution," explains Kovo CEO Greg Noble. The cumulative impact contributed to Kovo's 94% year-over-year revenue growth in the quarter ending September 30, 2021.
+400% Growth at Kovo's RPM Billing
Since it acquired Nevada-based RPM Billing in March 2020, Kovo has grown revenue at the medical billing specialist four-fold — from USD$1,400,000 to USD$5,700,000 million annualized.
Noble attributes the strong performance to "the RPM team's leadership and customer service excellence combined with Kovo technology and operational efficiencies that are driving faster payments for clients and better overall profitability for the company."
+33% Revenue Growth at Kovo's Midwest Medical Billing
In the six months since Kovo acquired Nebraska-based Midwest Medical Billing, the newly acquired company's revenues have increased by more than 30% to date, confirms Kovo CFO Inder Saini.
Kovo Partners Show Support
One of the Company's creditors has agreed to (i) extend an existing CAD$300,000 Convertible Note maturity date from January 18, 2023 to January 18, 2024 and (ii) the reduction the conversion price of such notes from USD$1.00 per common share to CAD$0.40 per share, pending TSXV approval.
The Company also announced that it has entered into a shares for debt agreement with a strategic acquisitions partner Lawrence, Evans & Co., LLC that, pending TSXV approval, will convert USD$43,480 of payables into approximately 140,513 common shares of the Company at a price of CAD$0.40.
About Kovo HealthTech Corporation
Kovo HealthTech Corporation is a growing healthcare technology company that specializes in Billing-as-a-Service offering SaaS-style recurring revenue contracts and software for more than 1700 US healthcare providers. Kovo helps healthcare providers digitally track and manage complex patient care registration, services, billing and payments in a seamless way, using its proprietary OneRev technology platform. Currently, through its clients, Kovo processes billing transactions for more than 3.5 million patients. By offering effective billing practices and technology through long-term SaaS-style contracts, Kovo helps healthcare practitioners get paid so they can focus on offering quality care. The Company posted 94% year-over-year revenue growth in the quarter ending September 30, 2021. To learn more about Kovo and to keep up-to-date on Kovo news, visit www.kovo.co.
For more information:
Greg Noble, CEO
investors@kovo.co
1-866-558-6777
Manish Grigo
manish@kovo.co
Forward-Looking Information and Statements
This press release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") concerning the Company and its subsidiaries within the meaning of applicable securities laws. Forward-looking information may relate to the future financial outlook and anticipated events or results of the Company and may include information regarding the Company's financial position, business strategy, growth strategies, acquisition prospects and plans, addressable markets, budgets, operations, financial results, taxes, dividend policy, plans and objectives. Particularly, information regarding the Company's expectations of future results, performance, achievements, prospects or opportunities or the markets in which the Company operates is forward-looking information. In some cases, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "targets", "expects", "budgets", "scheduled", "estimates", "outlook", "forecasts", "projects", "prospects", "strategy", "intends", "anticipates", "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", or "will" occur. In addition, any statements that refer to expectations, intentions, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent management's expectations, estimates and projections regarding future events or circumstances.
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