Industry News
1st Group Limited to Sell MyHeath1st to HealthShare Pty Ltd
Sydney-based 1st Group Limited has announced that it has entered into a binding agreement to sell its digital health platform, MyHeath1st, to HealthShare Pty Ltd. for a cash consideration of $1.25 million. The transaction, which includes the sale of assets, client agreements, supplier agreements, intellectual property, goodwill, business names and domain names, is expected to be completed on 31 May 2023.
The decision to sell MyHeath1st follows 1st Group's comments in its FY2023 half-year report regarding its intention to consider a potential sale of the platform. The board has determined that it would be in the best interest of shareholders to sell MyHeath1st on the terms agreed with HealthShare Pty Ltd.
1st Group's CEO, Joshua Mundey, said, "MyHeath1st has developed great relationships with a range of world-class healthcare providers since its inception in 2012. HealthShare is an industry leader in the Australian digital health landscape, with industry-leading products and a large user base of patients and health professionals. We believe that MyHeath1st's customers and employees will benefit from HealthShare's long-term ownership."
He added, "Today's announcement represents another important milestone in our strategy to create a focused and profitable healthcare technology organisation that is well placed to capture market share in the fast-growing, global hybrid health market. The sale of MyHeath1st to HealthShare will considerably reduce net cash outflows for 1st Group, allowing for more focused investment of human resources and financial capital in the growth of its other businesses. This transaction is a positive outcome for shareholders, customers and employees."
Charles Solomon, CEO for HealthShare, said “HealthShare aims to digitally connect health stakeholders to drive better health outcomes for patients. By combining HealthShare’s comprehensive health practitioner directory with 1st Group’s online booking technology, HealthShare will offer a seamless end-to end discovery and booking experience for patients, health practitioners and other health stakeholders. HealthShare looks forward to providing ongoing and improved services to the existing 1st Group customers”.
The proceeds from the transaction will provide further capital to support the ongoing growth of 1st Group's diagnostic Telehealth product, Visionflex.
HealthShare Pty Ltd. is an industry leader in the Australian digital health landscape, with over 10 million Australians using its products every year, along with tens of thousands of GPs, non-GP specialists, and allied health practitioners.
