WELL Health Technologies Corp. (“WELL”), a prominent digital healthcare company, has taken a step to increase primary care access by acquiring Canadian clinical assets from Jack Nathan Medical Corp. (“Jack Nathan”). The acquisition brings 16 owned and operated clinics and 62 licensee clinics into WELL’s network, establishing a new Affiliate Clinic model and extending WELL’s presence within Walmart Canada locations.
The 16 clinics, generating over $10 million in revenue in the last 12 months, are located in 13 cities across Canada. The 62 licensee clinics contribute an additional $2.2 million in annual revenue. WELL anticipates that its transformation programs and shared services support will help these clinics achieve profitability on an adjusted EBITDA basis by 2025.
Growing WELL’s Presence in Walmart Canada
As part of the acquisition, WELL gains Jack Nathan’s rights to operate clinics within Walmart Canada stores, an opportunity for nationwide expansion. With Walmart’s footprint of over 400 locations across Canada, WELL’s owned and operated clinics will now reach more communities, offering accessible, in-store primary care options.
Hamed Shahbazi, WELL’s Founder and CEO, highlighted the significance of this acquisition: “Acquiring Jack Nathan’s Canadian business is a substantial milestone in our mission to support healthcare providers across Canada. By adding 90 doctors to our network and creating opportunities for both owned and affiliate clinics, we are expanding our ability to support physicians in delivering quality care. Our presence in Walmart stores allows us to reach a broader population while benefiting from WELL’s digital tools that enhance clinic operations.”
Introducing the New Affiliate Clinic Model
The acquisition marks the launch of WELL’s high-margin “Affiliate Clinic” model. In this new structure, WELL will support independently owned and operated clinics by recruiting and placing physicians, while providing operational and technology solutions. These clinics, which will be owned by physicians, generate rental income for WELL without operational responsibilities, contributing to a more sustainable and profitable revenue stream.
Dr. Michael Frankel, Chief Medical Officer at WELL, commented on the impact of this model on primary care: “Primary care is essential to our healthcare system, and expanding our footprint allows us to better support physicians. This acquisition bolsters WELL’s role as a healthcare leader, enhancing workflows, improving clinic efficiency, and sustaining operations long-term.”
Expanding Geographic Reach and Patient Access
With this acquisition, WELL’s reach now spans multiple densely populated regions across 13 Canadian cities. The clinics, strategically positioned in Walmart locations, are expected to improve patient access and streamline healthcare experiences with support from WELL’s clinic transformation program. WELL’s digital tools and shared services program will be implemented across these clinics to optimize operations, boost efficiency, and improve the patient-provider experience.
The acquisition aligns with WELL’s long-term vision of creating a pan-Canadian network of accessible, tech-enabled healthcare clinics. By integrating Jack Nathan’s clinics into its platform, WELL is building on its position as Canada’s largest owner-operator of healthcare clinics, solidifying its role in addressing primary care accessibility.
Streamlining Operations with WELL’s Digital Tools
Through this acquisition, WELL plans to implement its digital tools and clinic transformation program across all newly acquired clinics, enhancing operational efficiency. WELL’s technology solutions include front and back-office management software applications that aim to improve workflows and simplify clinic management. These innovations are designed to reduce administrative burden and allow physicians to focus more on patient care.
Empowering Physicians and Elevating Care
WELL’s investment in Jack Nathan’s network emphasizes its commitment to empowering healthcare providers through technology. As part of the transformation, the company’s clinic transformation team will work closely with physicians and staff, enhancing workflows and implementing WELL’s proven optimization strategies.
Mike Marchelletta, Executive Vice Chairman of Jack Nathan, expressed confidence in WELL’s ability to bring the clinics to the next level: “WELL Health’s expertise in technology and operations offers a unique opportunity to elevate Jack Nathan’s network. Their leadership and advancements in AI and clinical technology will help improve access to quality healthcare for patients and physicians across Canada.”
