ADDvise Group has entered into a share purchase agreement with the owners of Diabetic Supplies Inc regarding the acquisition of all shares of Diabetic Supplies.
Closing of the acquisition is expected to take place at the beginning of September 2023.
Diabetic Supplies’ revenue for the last twelve months per June 30, 2023, amounted to USD 8.1 million, with an EBITDA of USD 3.3 million, corresponding to an EBITDA margin of 40.4 percent.
An initial cash purchase price of USD 9.5 million
The acquisition shall be executed at an initial cash purchase price of USD 9.5 million, and two potential earn-outs of a total of USD 5.1 million, given that Diabetic Supplies achieves certain determined financial targets.
The acquisition is financed through own funds and existing credit facilities. ADDvise assesses that the acquisition will have a positive impact on ADDvise’ earnings per share during the financial year 2023.
Photo of Rikard Akhtarzand, CEO, ADDvise