AeroCare inks merger deal
ORLANDO – AeroCare has merged with MergeWorthRx and will become a publicly traded company, it was announced today.
Under the terms of the agreement, MergeWorthRx, a special purpose acquisition company, will issue approximately 11.3 million new shares and .5 million options to existing AeroCare stockholders, according to a press release. Those stockholders will own 53% of the company, and will have the right to receive up to $30 million of additional shares of MergeWorthRx common stock.
"This is an exciting time for AeroCare,” stated Steve Griggs, CEO and founder. “The agreement with MergeWorthRx and AeroCare's emergence as a public company will increase our visibility in the market and provide the capital we will need to accelerate our growth and take further market share."
The provider plans to achieve growth through organic growth, strategic acquisitions and opening new locations. In 2013, AeroCare acquired 23 companies.
“We are eager to support the AeroCare management team as they execute on their strategic growth initiatives as a prime consolidator of this large, growing, and highly fragmented market," stated Stephen Cichy, MergeWorthRx’s cofounder, president and COO.
AeroCare was launched in 2002 and has grown at an annual compounded rate of 31%. The provider offers respiratory products and services to more than 150,000 patients through 175 locations in 20 U.S. states. AeroCare generates about $150 million in annual revenues, according to the release.
The deal is expected to close by the end of 2014.