The coronavirus pandemic has proven to be a major setback for most companies but there have been some notable exceptions and one of those is CloudMD Software & Services Inc. CloudMD Software & Services Inc (OTCMKTS:DOCRF) stock has been on a roll since July and since then stock has rallied by as much as 500% so far. Keeping that in mind, it could be a great idea to have a closer look at the telehealth company.
Towards the end of October, the company announced that it had made a key acquisition. CloudMD announced that the signing of the term sheet had been completed with regards to the 100% acquisition of HumaneCare Inc.
The telehealth company is working on changing the way healthcare is delivered and this acquisition is expected to help CloudMD in expanding its offerings. HumaneCare is an employee assistance services (EAP) solution and provides a range of health-related assistance to employees as well as to the members of their families.
HumaneCare has been involved in the healthcare sector in Canada for longer than three and a half decades, during which it has become one of the leaders in the EAP solutions space. HumaneCare’s EAP solutions coupled with CloudMD’s platform is expected to make a potent healthcare product.
The company has not sat on its laurels and has in fact continued to bring about new healthcare solutions to the market in order to expand its business. In early October, CloudMD announced the launch of a virtual online healthcare service named CloudMD on Demand.
It is a significant launch from the company considering the services on offer. CloudMD on Demand is going to help insurance companies and healthcare service providers with the option of providing their customers with virtual telemedicine services.
In addition to that, the product can also be offered to enterprise-level clients since it can be offered as a white-label product. E-commerce platforms that are involved in healthcare can make use of the service as well.
The rise in Bought Deal Financing
October was a particularly eventful month for CloudMD. On October 20, it emerged that the bought deal financing, which the company had agreed with Canaccord Genuity Corp, had been increased.
Canaccord represents a team of underwriters in the deal. According to the latest agreement, the underwriters in question had reached an agreement to buy 13500000 shares in CloudMD for $2.40 each.
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