Leveljump to Acquire Four Alberta Diagnostic Imaging Clinics

Toronto, Ontario--(Newsfile Corp. - November 21, 2022) - Leveljump Healthcare Corp. (TSXV: JUMP) (OTCQB: JMPHF) (FSE: 75J) ("Leveljump" or the "Company"), a Canadian leader in B2B telehealth solutions, is pleased to announce that its subsidiary, Canadian Teleradiology Services ("CTS"), has signed definitive agreements to acquire four diagnostic imaging clinics, also known as independent healthcare facilities ("IHFs"), from private Alberta vendors.

The purchase price is $5.88 million which includes a $100,000 deposit. The balance of the purchase price will be paid as $4.95 million in cash, the issuance of 830,000 common shares at an issue price of $0.10 per share and 830,000 Class A Series 1 Preferred Shares of Leveljump (the "Preferred Shares") at an issue price of $0.90 per Preferred Share. The Preferred Shares carry an 8% annual cumulative dividend along with a top up dividend of 25% of Leveljump EBITDA above $2,000,000 per year, divided by the then outstanding preferred shares, and are redeemable in December 2027. They are also callable anytime by the Company at a 10% premium and are convertible into common shares at a price of $0.40 per common share.

The transaction is targeted to close in January 2023 and is subject to several conditions, including but not limited to, required regulatory approval, satisfactory due diligence and securing an institutional credit facility to fund the balance of the cash portion of the purchase price.

These IHFs offer medical imaging including x-ray, ultrasound, fluoroscopy, and bone mineral density scans. The IHFs are all located in Calgary, Alberta and surrounding areas.

Combined, the IHF's are currently reporting revenue of approximately $4.76 million with EBITDA of approximately $950,000.

"Today is another milestone for the Company," said Mitch Geisler, CEO. "With the acquisition of these four imaging clinics, CTS will now become a truly national company. We will be increasing the revenues and EBITDA of our subsidiary Canadian Teleradiology Services to approximately $16 million and $2.5 million annually respectively. We look forward to increasing patient scan volumes and expanding the new clinics. Additionally, we will hope to have synergies and cost efficiencies with our current operations, allowing for increased profitability."

Hawkbridge Capital Partners is serving as exclusive financial advisor to the independent healthcare facilities, ("IHFs"), on this transaction.

About Leveljump Healthcare

LevelJump Healthcare Corp., (TSXV: JUMP) is building a healthcare company that expands on our current telehealth solutions as well as in person care. We provide remote hospital services to patients in Canada through our main operating subsidiary Canadian Teleradiology Services, Inc. ("CTS"). Future US operations will be through Telehospital USA Inc. Current operations are primarily based in Canada and include off-site radiology readings ("Teleradiology") for hospital emergency rooms as well as ownership of independent health facility diagnostic imaging centers.

ON BEHALF OF THE BOARD OF DIRECTORS OF
LEVELJUMP HEALTHCARE CORP.

Mitchell Geisler, Chief Executive Officer
info@leveljumphealthcare.com
(833) 840-2020

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

This news release contains "forward-looking information" within the meaning of applicable securities laws relating to the Company's business plans and the outlook of the Company's industry. Although the Company believes, in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate, that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. Actual results and developments may differ materially from those contemplated by these statements. The statements in this press release are made as of the date of this release and the Company assumes no responsibility to update them or revise them to reflect new events or circumstances other than as required by applicable securities laws. The Company undertakes no obligation to comment on analyses, expectations or statements made by third parties in respect of the Company, Canadian Teleradiology Services, Inc., their securities, or their respective financial or operating results (as applicable).

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The securities being offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any U.S. state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, United States persons absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor in any other jurisdiction.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/145074

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