Acquisition news out this morning: https://finance.yahoo.com/news/healthcare-triangle-hcti-acquires-devcool-130000960.html
Healthcare Triangle, Inc. (NASDAQ: HCTI) supports healthcare organizations with digital transformation encompassing the cloud, security and compliance, data lifecycle management, healthcare interoperability, and clinical and business performance optimization.
Current price $2.20/share (at market close 12-10-21)
HCTI is a newly public company whose common stock began trading on The Nasdaq Capital Market on October 13, 2023. The company was incorporated in October of 2019 and in early 2020 acquired SecureKloud Technologies Inc. (life sciences) and Cornerstone Advisors Group LLC (healthcare).
Tiny float (7.96M shares)
Trading 49% off its October high ($4.35)
Price to Sales ratio is only 2.0XHigh
Insider ownership (67.8%)
As I started my due diligence on HCTI to prepare this report a couple of things stood out at the onset. The company is two years old, been a public company for two months, and is already generating $35M in annual revenues. Insiders are holding 67.8% of the outstanding shares indicating a high level of confidence in the company and their ability to deliver shareholder value.
The company IPO, concluded in mid-October, consisted of 3,262,500 shares of common stock at a public offering price of $4.00 per share, for aggregate gross proceeds of approximately $13.0 million. Even after the IPO the company’s public float is only 7.96M shares.
HCTI is bringing its expertise in Big Data, Analytics, DevOps, Security/Compliance, Identity Access Management (IAM), Machine Learning (ML), Artificial Intelligence (AI), Internet of Things (IoT) and Blockchain to its clients and focuses its product marketing to three healthcare sectors:
Pharmaceutical companies, which require improved efficiencies in the clinical trial process. HCTI modernizes their IT infrastructure to advance the clinical trial process to drug discovery and delivery.
Hospitals and health systems, which face interoperability challenges as mergers, acquisitions and partnerships drive increasing need for integrated healthcare infrastructures. HCTI’s health IT expertise optimizes providers’ enterprise digital structure needs connecting disparate systems and applying analytics capabilities.
Life sciences, payers and all healthcare organizations must protect and secure personal health information (PHI), a regulatory compliance mandate that HCTI addresses and manages for its customers
According to Grandview Research, the global healthcare IT market is expected to grow at a compound annual growth rate of 10.7% from 2023 till 2028 to reach USD 166.0 billion by 2028. The company offers a comprehensive presentation of its services and operations and as a part of your due diligence I recommend you look at it.
I will have a full report on HCTI soon