Australia’s Vitura Health Limited (ASX: VIT) has announced a binding agreement in place for the acquisition of local pioneering telehealth service Doctors On Demand.
Vitura Health, formerly Cronos Australia Limited, is focused on creating medicinal cannabis products and digital health solutions. Among its brands are:
- Cannview: an online platform providing medical cannabis prescribing, dispensing and medication management solutions
- CDA Clinics: provider of medicinal cannabis consultations and prescription services to eligible Australian patients; which has been operating since 2018.
- Cannadoc: a medical cannabis clinic.
- Burleigh Heads Cannabis: one of Australia’s largest medicinal cannabis distributors
- Adaya: producer of plant-based medicines.
South Brisbane based Doctors On Demand (DoD) was founded in 2015 and operates a digital platform available 24/7, 365 days a year to facilitate the provision of telehealth, healthcare and related services. More than 120 doctors currently treat patients using the Doctors On Demand platform. Last month saw an average of 776 consults in a 24-hour period, and close to 300,000 patient consults occur annually. As well as providing health services direct to the general public, DoD has growing list of Australian Health Insurers and corporates using its services.
Among Vitura’s reasons for acquiring DoD:
“Integrating DoD into the Company will further embed Vitura as a diversified digital health company, with the Acquisition bringing a significant number of prescribers and patients, while also enabling the Company to enter new service and product
verticals.”
Vitura says the move will diversify its operations and revenues beyond medicinal cannabis into a significantly wider addressable market.
“The Company will benefit from DoD’s success and expertise in the operation of a large scale and large volume telehealth business.”
Vitura says the total consideration payable under the agreements for the acquisition is $25 million. Subject to limited conditions being met, the acquisition is expected to complete on or around 26 October 2023 – this week. Past the acquisition, Vitura will also continue to serve patients, prescribers, pharmacists and suppliers on its CannView platform.
“We look forward to Doctors on Demand continuing to provide high quality video consults and clinical outcomes for patients across the country,” said Vitura.
