WELL Divestiture Aligns With Clinics Businness Focus - TDDivestiture of its electronic health records business is a good sign of its focus on capital allocation, David Kwan of TD Cowen says in a report.
The analyst notes that WELL is selling the business for about C$24 million after paying about C$15.4 million for it in April 2021. "Given WELL's increased focus on growing its Canadian clinics business, Intrahealth, which focuses on larger healthcare facilities, was becoming less core to its business," he says, and that the sale is "further evidence of WELL's focus on capital allocation, including business/asset divestitures".