CB Scientific, Inc. Announces Definitive Agreement to Acquire Cardiolink Corporation, an Independent Diagnostic Testing Facility (IDTF)
Addition of IDTF operation has CBSC well-positioned to significantly impact the US Remote Patient Monitoring market.
ESCONDIDO, CA / ACCESSWIRE / February 23, 2021 / CB Scientific, Inc. (OTC PINK:CBSC) (“CBSC” or the “Company”), in an ongoing effort to expand its outreach in the Ambulatory Remote Cardiac Diagnostic Monitoring Services market in the United States, is pleased to announce a definitive purchase agreement to acquire Cardiolink Corporation, a Medicare-certified Independent Diagnostic Testing Facility (IDTF) based in Levittown, New York. Cardiolink was founded in 1979 and has been providing remote heart arrhythmia monitoring and cardiac support services to the medical community regionally for forty-two years.
This acquisition will provide CBSC with the ability to formally enter the rapidly growing Remote Patient Monitoring (RPM) arena in the US, on a national basis. RPM has become a dominate growth market in the medical field since 2017, primarily due to the increasing occurrence of cardiovascular (heart) disease. Cardiolink, through their 24/7/365 operation, uses state-of-the-art cardiac equipment and software to deliver a wide variety of remote ambulatory cardiac testing services to patients. These wearable devices include Mobile Cardiac Telemetry, Cardiac Event, Extended Holter, Standard Holter and Ambulatory Blood Pressure, all monitored by an experienced staff of well-trained, expert cardiac technicians. Cardiolink also provides remote Pacemaker TTM monitoring and INR heart testing. This acquisition will make CBSC an active player in the domestic Ambulatory Remote Cardiac Diagnostic Monitoring Services market, which generated revenues of approximately US $778M in 2019, with projected future growth of 18% per year.
“Cardiolink is very excited to join the CB Scientific, Inc. team in their efforts to address the increasing demand for remote cardiac monitoring services in the U.S.”, said Robert Kammerer, President of Cardiolink Corporation in a statement. Kammerer continued, “With forty-two years of direct experience offering IDTF products and services regionally, Cardiolink looks forward to being a part of CBSC’s planned national expansion to further help impact and improve the quality of life and reduce the cost of care for the millions of patients with suspected heart disease, in the U.S.”
Charles Martin, President and CEO of CB Scientific, Inc. stated, “The acquisition of Cardiolink Corporation fits perfectly into our strategic plan and efforts to positively impact outcomes for the more than 655,000 Americans who die from heart disease in the United States every year. Cardiovascular disease is the leading cause of death in the US, killing one in every four people every year, and costing the US more than $219B annually. The addition of this well-established, proven company, along with our existing and future products and services, will help to solidify CBSC’s expanded service offering in our efforts to become a leader in the US Remote Patient Monitoring market. Timely and early detection of potential heart rhythm issues is the key to better diagnosis and improved outcomes, reducing cost and helping to improve quality of life for patients. We look forward to the positive effects that the addition Cardiolink’s IDTF operation will have for our company.”
As part of CBSC’s 2021 business plan, this transaction will help to significantly increase productivity by addressing the ever-increasing demands for remote cardiac services, as well as increasing our revenues, thereby allowing for possible expansion into future alternative markets. Today, the US is at the forefront of Remote Cardiac Monitoring, with lower percentage death rates due to cardiovascular disease, than the rest of the world. Related to this acquisition will be on-going efforts by CBSC to expand My-Cardia’s service capabilities globally, where deaths from heart disease in some countries run upwards to 40%. We hope to make a positive impact on these areas of the world by improving earlier diagnosis of heart disease through our products and services. Plans also include leveraging business relationships and exploring additional acquisitions. The Cardiolink acquisition is targeted to be completed by May 2021.
CB Scientific plans to make further announcements to keep its shareholders, industry participants and the public markets informed through press releases and regulatory filings as new developments occur.
About Cardiolink Corporation:
CardioLink Corp., founded in 1979, has been providing life-saving cardiac support services for physicians and patients, via transtelephonic monitoring equipment for 42 years. The company was incorporated in 1988 and moved from its original facility in Carle Place, NY to a larger facility in Levittown, NY as the company expanded. CardioLink Corp. provides Wireless Telemetry, Cardiac Event Arrhythmia Monitoring, Holter Monitoring, PT/INR Testing, along with other Telemedicine Services.
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SOURCE: CB Scientific, Inc.