Toronto-based healthcare technology firm VitalHub has acquired Novari Health, a Kingston-based provider of referral and waitlist management tools, in a deal valued at up to $48.6 million CAD.
The acquisition includes $35.8 million in cash, approximately 730,000 VitalHub shares worth $7.8 million, and up to $5 million in performance bonuses over the next two years.
Strengthening position in Canada—and beyond
According to VitalHub, the acquisition will enhance its leadership in the Canadian healthcare software market, particularly in the referral management segment, which it calls “a key area of investment” for global governments addressing rising wait times and administrative challenges.
“We have watched the success of Novari in the Canadian landscape for over a decade,” said VitalHub CEO Dan Matlow, calling the acquisition a move that “solidifies our leading position in the Canadian patient flow market.”
The company also aims to extend Novari’s reach internationally, using VitalHub’s global footprint—especially in the UK—to scale its presence in the referral management sector.
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Financials and strategic fit
Prior to the acquisition, Novari Health generated around $12 million in annual recurring revenue and was nearing break-even on adjusted EBITDA. Founded in 2003, Novari is known for its work with the Ontario government to reduce surgical backlogs through centralized waitlist solutions.
VitalHub, founded in 2015, has actively grown through acquisitions, recently purchasing MedCurrent Corporation, Strata Health, and Induction Healthcare Group. The Novari deal continues this strategy and further consolidates its product offering across hospitals, long-term care, and regional health networks.
