Healthscreen Solutions Inc.

Healthscreen Solutions Inc.

May 15, 2008 16:53 ET

Healthscreen Announces $4.25 million Financing with Wellington Financial

Funds to be used to fuel growth strategy

TORONTO, ONTARIO--(Marketwire - May 15, 2008) - Healthscreen Solutions Inc. (TSX VENTURE:MDU) ("Healthscreen" or the "Company") the premier supplier of physician practice enhancing services and electronic medical record (EMR) software to the Canadian market, announced today that it has entered into a debt financing agreement with Wellington Financial LP ("Wellington") for gross proceeds of $4.25 million through the issuance of secured debentures.

"Healthscreen has grown at a tremendous pace in the past year, and to continue at this rate, while also acquiring established medical software companies, requires access to additional capital," said Justin Belobaba, President and CEO of Healthscreen. "Adding an experienced financial partner like Wellington strengthens our advisory team, builds our treasury, and allows us to execute on our growth strategy, while preserving long-term shareholder value."

The secured debentures have a term of 24 months and carry an interest rate of 12.75% per annum. The proceeds will be used to fund the company's acquisition strategy and for general working capital purposes.

"We are thrilled to be a part of this young and exciting company's bright future. Healthscreen's team has demonstrated they have developed a value proposition that delivers tremendous value to its doctors," said Mark Usher, Partner at Wellington Financial, "Healthscreen's opportunities are without limit and Wellington is pleased to be a financial partner."

Concurrent with the financing, Healthscreen has issued to Wellington an aggregate of 4,811,321 special warrants of Healthscreen. Each special warrant is exercisable, without payment of additional consideration, for one common share purchase warrant. Each common share purchase warrant entitles the holder to purchase one common share of Healthscreen at an exercise price of $0.265 per share at any time prior to May 14, 2013.

LaBarge Weinstein LLP and Stikeman Elliott LLP provided legal advice for this transaction. Wellington Financial LP is currently managing a $400 million investment program via Wellington Financial Fund III. Since Fund III began operation in September 2006, Wellington Financial LP has led more than $145 million of transactions, making it the most active fund of its kind in Canada.

About Healthscreen Solutions Inc.

Healthscreen Solutions ( offers a comprehensive suite of practice enhancing products and services designed to increase physician productivity and revenue, while reducing costs and improving patient care. The Company's robust OHIP billing and patient scheduling software is used by over 4,000 full-time physicians and handles more than $1.5 billion in healthcare transactions a year.

Healthscreen's Electronic Medical Record (EMR) software supports digitalization and network connectivity for community specialists and family physicians plus a growing list of research groups. The Company's broader goal of Continuous Practice Enhancement is being further realized with a growing list of services such as CallerMD, which assists doctors in managing a range of uninsured medical services and PrevCareMD which helps doctors earn supplemental income by achieving government-set preventive care targets.

About Wellington Financial LP

Wellington Financial LP is a privately held specialty finance firm providing operating lines of credit, term, venture and amortizing loans up to $40 million. Wellington Financial LP is currently deploying a $400 million investment program via its third fund. Wellington Financial LP is managed by a partnership controlled by fund management and Clairvest Group Inc. (TSX:CVG), who jointly have contributed a large financial stake to Fund III. Limited partners include several of Canada's largest institutional investors, crown corporations, financial institutions and pension funds. Please visit the fund website at, or the Wellington Financial team blog at


Statements in this release that are forward looking involve known and unknown risks and uncertainties, which may cause the company's actual results in future periods to be materially different from any future performance that may be suggested in this release. The company assumes no obligation to update any forward-looking statements contained in this release. Trading in the securities of Healthscreen should be considered highly speculative.

The TSX Venture Exchange has in no way approved nor disapproved the contents of this new release.

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