By Robb M. Stewart


Sun Life Financial has struck a deal to buy Dialogue Health Technologies for 277 million Canadian dollars ($210.3 million), broadening the financial services firm's health business at a time when a growing number of Canadians complain about not being able to schedule a same-day or next-day doctor's appointment.

Sun Life said it will purchase all outstanding shares of the virtual healthcare and wellness platform for C$5.15 each, a 43% premium to the closing price Tuesday. The deal, which will see Dialogue's executive management retain a minority stake, values the company at C$365 million.

The takeover builds on an existing relationship between Sun Life and Dialogue. Sun Life in early 2020 rolled out Dialogue's services to its benefits clients under the name Lumino Health Virtual Care, and earlier this month Sun Life agreed to license the platform and distribution services to its U.S. members.

The companies said Dialogue will maintain its Montreal headquarters and will operate as a standalone entity of Sun Life Canada, with oversight from a new board of directors, providing its service to customers and distribution partners.

Sun Life said the deal will be financed with cash and is expected to close this year.


Write to Robb M. Stewart at robb.stewart@wsj.com


(END) Dow Jones Newswires

07-26-23 0908ET