The asset sale consists of the majority of the company's workforce and most of its clinical equipment and healthcare facility contracts
Assure to sell certain assets of its IONM business to MPOWERHealth. (Credit: Rock Staar on Unsplash)
Assure, a provider of outsourced intraoperative neuromonitoring and remote neurology services, has agreed to divest some assets related to its intraoperative neuromonitoring (IONM) business to Texas, US-based MPOWERHealth for up to $4.5m.
The asset sale consists of the majority of Assure’s workforce as well as most of its clinical equipment and healthcare facility contracts.
Assure will keep some of its assets, such as its personnel in the revenue cycle management team and its accounts receivable, among other things.
Under the deal, $2.5m will be paid in cash at the initial closing, and up to an additional $2m may be paid over the next 12 months in connection with a potential earnout payment based on case volume from the acquired assets.
Assure executive chairman and CEO John Farlinger said: “The sale of IONM assets to MPOWER provides Assure with a clear pathway to meet its strategic objective of repurposing our business and closing our merger with Danam Health.
“We are pleased that MPOWER will continue providing our surgeon partners with the high-quality IONM services they are accustomed to receiving using the same neurophysiologists they work with today.”
Assure delivers a range of clinical and operational services to support surgeons and medical facilities during invasive procedures.
MPOWERHealth serves over 400 physicians, over 55,000 patients, and more than 300 facilities in 24 US states. It offers solutions for speciality physicians, hospitals, and payors.
MPOWERHealth CEO Scott LaRoque said: “MPOWERHealth’s acquisition of Assure Neuromonitoring further solidifies our standing as a leading provider of IONM services.
“This move underscores our commitment to advancing surgical safety and patient outcomes through improved access to advanced technologies.
“We’re excited about the positive impact this acquisition will bring to patient care and look forward to furthering the clinical excellence within our field.”
The initial closing of the deal is anticipated by Assure to take place around 22 March 2024, subject to certain typical closing conditions and consents.