- Oops!Something went wrong.Please try again later.
West Palm Beach, FL, April 29, 2021 (GLOBE NEWSWIRE) -- via NewMediaWire -- Ethema Health Corporation (OTCPINK: GRST) (“Ethema” “GRST” or the “Company”) is pleased to announce that the Company will be increasing its stake in the ARIA treatment center by executing a revised purchase option as it nears the closing of the purchase of a majority interest in the ARIA treatment facility in West Palm Beach, Florida. The ARIA facility has been become profitable and cash flow positive in the first few months of operation after it became an in-network provider to Blue Cross and Blue Shield of Florida, Inc. (“Florida Blue”). ARIA is contracted to provide services to holders of HMO policies under the Florida Blue, My Blue and other Blue Cross brands. The construction buildout of the first floor of the treatment center is underway and will soon allow for an increase to the number of beds the treatment center can provide on its second and third floors of the center. Capacity will increase from 40 to 52 beds. ARIA has hit a high occupancy of 36 beds recently and the additional beds will be needed in the near future.
The Company has worked together with the Seller to create a tremendous platform for growth with the ARIA treatment center and together crafted a revision to the original agreement that gives the Company a larger share of the business and more closely aligns the interests of the Seller with the shareholders of the Company. The Company will increase its ownership in the treatment center from 51% to 75% and in addition to a payment of $50,000.00 for the added interest, the Company will issue to the Seller one hundred million shares of the Company common stock. The change of ownership requires the approval of the Florida Department of Children and Families and it is expected to close in late May, 2021. The Company will be able to report the financial operations of the center in its second quarter filings.
Since the restructuring that occurred in June and July of 2020, The Company has created significant value for the shareholders and the revised agreement further increase the value to the shareholders. The Company required debt capital to fund the start-up of the new treatment center and now must turn its attention to managing the repayment of the debt while maintaining shareholder value. The Company expects to make significant progress on the debt in the coming months while it continues to grow the treatment center business.
The Company announced MOU with Sparta Capital Ltd. is moving towards more definitive agreements on a structure for a joint venture to roll out a multi-faceted solution to creating safe workspaces. The ARIA treatment center has continued to have great success in the use of Covid Clear (hypochlorous acid) in the treatment of the of the working and living space at the treatment center.
“We have seen first hand the effectiveness of the use of hypochlorous acid in protecting our workspace and we are excited to be part of an effort to bring this solution to other workplaces in North America,” said Company CEO Shawn Leon. “Restructuring the Company and creating a tremendous treatment center asset during the Pandemic has been a challenge. We have succeeded and are now poised to make even more significant strides as the Company and the economy start to get back to work safely.”
About Ethema Health Corporation
Ethema Health Corporation (OTCPINK: GRST) operates in the behavioral healthcare space specifically in the treatment of substance use disorders. Ethema developed a unique style of treatment over the last decade and has had much success with in-patient treatment for adults. Ethema will continue to develop world class programs and techniques for North America. For more information you can visit our website at www.ethemahealth.com .
Notice Regarding Forward-Looking Statements
The information contained herein includes forward-looking statements. These statements relate to future events or to our future financial performance, and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance, or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects our current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. We assume no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
For information please contact:
Ethema Health Corporation
Text to 416-500-0020