Assure Holdings Completes Acquisition of Neuro-Pro Monitoring

Transformative Acquisition Strongly Reinforces Company’s Strategic Growth Plan

DENVER, Feb. 18, 2020 (GLOBE NEWSWIRE) -- Assure Holdings Corp. (the “Company” or “Assure”) (TSXV: IOM; OTCQB: ARHH), a provider of intraoperative neuromonitoring services (IONM), is pleased to announce that it has completed (the “Completed Agreement”) the previously announced acquisition (the “Acquisition”) of all of the assets of Neuro-Pro Monitoring (Neuro-Pro), one of the largest IONM service providers in Texas.

• Strengthens and Diversifies Revenue Stream with Substantial Increase in Number of Procedures
• Expanded Scale Expected to Facilitate Acceleration of In-Network Contracts with Insurance Companies
• Immediately Accretive to Earnings and Cash Flow in 2020

Assure acquired Neuro-Pro, one of the largest IONM companies serving the Dallas Ft. Worth metroplex. Neuro-Pro’s 13 technologists support 25 surgeons across 14 facilities. Neuro-Pro’s total number of procedures was 2,551 in 2019. Exclusive of Neuro-Pro, Assure’s total number of procedures in 2019 was 5,813. Historically, approximately 80% of Neuro-Pro’s procedures were commercial insurance payers while roughly 50% of Assure’s procedures are commercial payers. From a financial perspective, commercial insurance payers are more profitable procedures to Assure than procedures covered for patients with government insurance. When Assure reports fourth quarter and full-year 2019 results, 596 Neuro-Pro procedures and their associated financial impact, will now be included as these cases occurred after the acquisition agreement was announced on November 1, 2019.

John A. Farlinger, Assure’s executive chairman and CEO said, “This acquisition is truly transformative for Assure. It is consistent with our strategic plan to create scale by augmenting our organic growth with accretive M&A opportunities. We believe that Assure’s rapid acceleration in number of procedures performed, generated organically and through the acquisition of Neuro-Pro, strengthens our negotiating position and ability to sign additional in-network insurance agreements, another key initiative for the Company in 2020.”

Farlinger continued, “This Acquisition improves our financial position. In 2019, on an unaudited basis, Neuro-Pro generated approximately $6 million of incremental cash receipts from revenue and roughly $3 million in net income. We expect to unlock additional business opportunities in Texas because of this acquisition and meaningfully improve Neuro-Pro’s historic per procedure revenue in 2020 and beyond. Moreover, Neuro-Pro has built and nurtured important relationships, including with some of the most prestigious spine surgeons in the Dallas Ft. Worth area.”