Bionik Laboratories Corp, a robotics company providing neurological functional recovery solutions to stroke survivors and others with functional and mobility challenges, announces the acquisition of a rehabilitation center in Clermont, Fla.
The center is revenue-producing, profitable and has an existing roster of patients and referral sources. Bionik intends for it to be rebranded to a specialized neuro-recovery center that will showcase Bionik’s technology and solutions, providing treatment to patients with stroke, brain and spinal cord injuries, in addition to its historic treatment offerings.
“This accretive transaction represents an exciting step in Bionik’s evolution and comes with numerous strategic advantages,” said Richard Russo, Jr., Bionik’s Interim CEO and Chief Financial Officer. “We are leveraging our capital to acquire a revenue generating, cash-flow positive, and profitable rehabilitation center with a large patient referral base that is expected to strengthen and diversify Bionik’s revenue streams and outlook for growth.”
Bionik financed the acquisition of the rehabilitation center with a secured convertible loan from an existing investor of the Company who is also one of its directors, indicating continuing support and belief in this new strategy.
Mr. Russo continued, “We are pleased to secure this financing from an existing investor, demonstrating strong belief in our national rollout strategy. Our new strategy reflects our firm belief in the potential of early and intensive interventions to deliver the best outcomes for patients with stroke or neurotrauma. We are committed to helping patients achieve their highest level of independence. Building a network of neuro recovery centers will enable us to provide more patients with access to Bionik’s InMotion systems, which are the gold standard for robotic upper extremity rehabilitation. The US physical therapy market is estimated to grow to $43 billion by 2025 and we believe that tapping into this market will allow Bionik to deliver increasing long-term value to shareholders.”
[Source(s): Bionik Laboratories Corp, Business Wire]