March 1 (Reuters) - Paragon Care Ltd (PGC) : MERGER OF PGC AND...

March 1 (Reuters) - Paragon Care Ltd (PGC) :

• MERGER OF PGC AND CH2 HOLDINGS
• MERGER ENABLES CO TO FACILITATE EXPANSION INTO BOTH EXISTING COMPANIES’ HEALTHCARE WHOLESALING AND DISTRIBUTION NETWORKS ACROSS AUSTRALIA, AMONG OTHERS
• SIGNIFICANT SYNERGIES IDENTIFIED ACROSS BUSINESS PLATFORM
• COMBINED ESTIMATED FY24 PRO-FORMA REVENUES OF A$3.3 BILLION AND EBITDA OF A$93 MILLION FROM PROPOSED MERGER
• ENTERED A SHARE SALE AGREEMENT TO ACQUIRE ALL OF ISSUED SHARE CAPITAL IN CH2 HOLDINGS PTY
• CO AND CH2 IDENTIFIED SYNERGIES AND COST EFFICIENCIES OF MORE THAN A$5 MILLION P.A.
• BOARD UNANIMOUSLY RECOMMENDS THAT PARAGONCARE SHAREHOLDERS VOTE IN FAVOUR OF THE RESOLUTIONS
• UNDER PROPOSED MERGER PROPOSED ISSUE OF SHARES IMPLIES A PURCHASE PRICE A$201.5 MILLION ASSUMING A A$0.214 SHARE ISSUE PRICE
• UNDER MERGER, PROPOSED THAT CO WILL ACQUIRE ALL OF ISSUED SHARE CAPITAL IN CH2 IN EXCHANGE FOR ISSUING 943.5 MILLION SHARES IN CO

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