Canadians 'mobilize' in U.S.
VANCOUVER, British Columbia — A Canadian HME company that's been out of the U.S. market since the late 1990s is gearing up to re-enter the States, beginning with a multimillion-dollar financing deal and a listing on a U.S. stock exchange.
AMS Homecare, a Vancouver-based mobility products provider that serves as the sole authorized distributor for Shop-rider products in Canada, announced in early October that it had signed an agreement with Cornell Capital Partners, Jersey City, N.J. Under that agreement, Cornell will purchase $5 million in AMS securities over a 24-month period, commencing with the listing of AMS on the OTCBB/BBX Stock Exchange.
AMS is already negotiating the acquisition of some HME dealers in North Carolina and Florida, as well as exploring the possibility of establishing its own corporate dealerships from the ground up. The company also is considering its options in Southwestern states such as California, Texas and Arizona.
"We did business in the U.S. for Shoprider from 1992 to 1997, so the market isn't new to us," said Rani Gill, who was recently reappointed as president of the company by the AMS board of directors. "That's where the money is. The Canadian market is much smaller, maybe 8% of the total market. Our plans to expand the business requires that we go into the U.S."
Harj Gill, director and general manage of AMS, anticipates that some of the acquisition deals in the Southeastern United States could be completed within the next six months.
"Once that's done, we'll bring out scooters from sources other than Shoprider, as we wouldn't be allowed to sell their products in the U.S. under our current arrangement," Harj Gill said.
Plans also include moving beyond just mobility products, so AMS is adding disposal medical supplies to its stock.
"We don't have any plans right now to add any other product lines, though," Rani Gill said. HME