FOXO Technologies Inc. (NYSE: FOXO) shares retreated Wednesday, on word the West Palm Beach-based company announced that it has executed a non-binding acquisition agreement to acquire an assisted living and memory care facility in South Florida.
The proposed acquisition includes the land and buildings. The facility has 87 units licensed for the provision of assisted living and memory care services. The purchase price for the facility is expected to be $22 million, a portion of which is milestone-based. $5M of the purchase price will be in the form of non-convertible preferred stock.
Completion of the acquisition is subject to definitive agreements and a number of closing conditions, including satisfactory due diligence and financing.
“This agreement further demonstrates our strategy to add assisted living facilities to the health care services we provide,” said CEO Seamus Lagan. “We are confident that we can close on acquisitions currently subject to non-binding agreements, which if successfully completed, will add in excess of 350 units providing assisted living and memory care services.”
Furthermore, the Company expects to shortly confirm a definitive agreement that is nearing completion for the acquisition of Vector Biosource, Inc., that was previously announced.
FOXO shares dropped 0.04 cents, or 2.5%, to 14 cents.
