It has been an unprecedented week, as focus on major stories related to the financial sector’s struggles and the volatility among crude stocks after OPEC+ said it was slashing output by 1.16 million barrels per day. All eyes were on former President Donald Trump, who plead not guilty to 34 criminal charges. With this and more on the minds of many of the Bullboard posters, what other notable happenings were recorded by some market movers this week? Let’s find out.
RevoluGROUP Canada (TSX:REVO) signed a fourth addendum to its binding equity investment MOU.
The addendum updates the state of the continued shared interest to conclude an equity acquisition by a European financially regulated entity allied to a UAE-based financial consultancy firm.
RevoluGROUP’s suitor is confirming that its exposure to Silvergate is minimal and without consequence. However, its exposure to Signature Bank is more significant.
While an FDIC resolution appears imminent, a new timeline has proven necessary since the last addendum, which both parties believe should be definite.
The company’s fourth addendum reiterates the suitor’s unwavering and steadfast commitment to conclude its investment in RevoluGROUP. A newly defined timeline sees the investment proposal culminating by midnight on April 18, 2023.
Reliq Health Technologies Inc. (TSXV:RHT) has signed 10 new contracts to expand its iUGO Care platform.
The contracts, centred in Nevada, Texas and Northern California, further expand Reliq’s virtual care platform, iUGO Care.
The new clients are expected to bring over 5,000 patients to the platform by year end at an average revenue of $65 per patient per month.
The contracts will provide remote patient monitoring (RPM), chronic care management, and behavioral health integration to patients in Nevada and California, while the home health agencies in Texas will offer RPM to their patients.
The expected 75 per cent gross margin from the contracts demonstrates the company’s potential to grow and expand beyond its current presence in Southern California.
MediPharm Labs (TSX:LABS) has completed its acquisition of VIVO Cannabis Inc. (TSX:VIVO).
The transaction is expected to create a new, combined international medical cannabis company. The acquisition of VIVO adds established Australian and German medical cannabis brand Beacon Medical; an industry-leading medical cannabis clinic business Harvest Medicine; and a longstanding Canadian medical sales platform Canna Farms Medical.
The agreement will permit VIVO shareholders to receive between 0.2110 and 0.4267 common shares of MediPharm for each VIVO share held, subject to adjustment.
MediPharm shareholders are estimated to own somewhere around 65 to 79 per cent of the combined company and VIVO shareholders are expected to own between 35 to 21 per cent.
The exchange ratio at closing will be decided by the amount of working capital of VIVO by way of a promissory note. The decided ratio will consider any funds advanced by MediPharm up to a maximum of $3.75 million.
The agreement involves certain customary requirements, including promises in respect of non-solicitation of alternative acquisition proposals for VIVO and a termination fee of $1 million payable to either party under certain circumstances.
Heading into a long weekend, we will see one less trading day in the North American markets, but news around the world will continue to flow. What potential diamond in the rough will we find next week? Stay healthy, and we’ll be back next week to report the latest trends from the markets and movements in the Bullboards. For previous editions of Buzz on the Bullboards: click here.