Kovo HealthTech Corporation (TSXV:KOVO) entered into a Membership Interest Purchase Agreement E&A Medical Billing Service and Software for $2.7 million on April 20, 2023. The acquisition of the membership units of E&A Medical, includes associated trademarks, trade names, brand names goodwill, customer lists, software and customer contracts. The consideration for the acquisition is subject to compliance with the policies of the TSXV.

This acquisition is the first to be financed under the Kovo HealthTech Corporation's new debt facility of $7 million, which closed on April 20, 2023. The acquisition is expected to be immediately accretive to Kovo as E&A recorded Trailing Twelve Month revenues of $3.3 million with EBITDA of approximately 25% net of synergies. The completion of the acquisition is subject to the satisfaction of a number of closing conditions, including receipt of the approval of the TSXV.

There can be no assurance that the transaction will be completed on the terms contained herein or at all. As on May 4, 2023, TSX Venture Exchange has accepted for filing a Membership Interest Purchase Agreement.