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Think Research Corporation THKKF


Primary Symbol: V.THNK

Think Research Corporation is a Canada-based company that offers digital health software solutions. It is a provider of cloud-based data, knowledge, and software solutions primarily delivered as software-as-a-service (SaaS) to healthcare delivery systems and the practitioners that they support. Its operations are organized into three lines of business: Software and Data Solutions, Clinical Research, and Clinical Services. Its SaaS solutions help patients find, navigate, and connect to health services across large governments and payer clients, while also ensuring safety for prescribed medications at pharmacies. Through its wholly owned subsidiary, BioPharma Services Inc., the Company provides research data and analysis derived from Phase I clinical trials, bioequivalence studies and bioanalytical services. Its clinics act as a test bed for its software and technology, transforming them with digital solutions that optimize clinical outcomes, streamline workflows, and optimize billing.


TSXV:THNK - Post by User

Comment by dt_coreon Feb 08, 2022 8:08pm
90 Views
Post# 34410784

RE:RE:RE:RE:Insight into Oak Hill News

RE:RE:RE:RE:Insight into Oak Hill NewsI'm not following your concern on the 12-year offbook $37mm rent liability. On a comprable basis they are currently paying ~$2.5mm annually for rent + rent associated with acquisitions. The new rent kicks in during 2023 when THNK moves to a new larger office where they pay just under $2.9mm per year so we're talking an incremental $400K in the first five years at a fixed rate. You're right that it's an additional amount, but its not excessive. The rate does increase by an additional $200K after 5 years and $300K starting in year 10 but pro forma Think will be a much larger and presumably far more profitable company by then. If not then yes they can sublease portions of it. None of this is unusual or off market.

Forward rent agreements are quite common especially for rapidly growing companies. Given the number of hires the company is planning it seems perfectly logical to have space lined up. As far as COVID goes many asset owners are happy to renegotiate the space over the near term rather than lose the tenent altogether over a COVID related breach of contract, but by 2023 hopefully that won't be necessary.
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