WELL Health Technologies, a Canadian electronic medical record services provider, has agreed to acquire healthcare technology company KAI Innovations for C$17.75 million ($13.2 million).

The deal is expected to expand WELL Health's OSCAR portfolio to over 852 facilities across the country and also boost its recurring software as a service revenue, as well as increase its earnings with immediate effect.

The acquisition will be funded via a combination of cash on hand and a private placement funding and remains subject to the usual closing conditions and approval from the Toronto Stock Exchange.

For the quarter ended March 31, 2019, WELL Health booked revenue of $5.5 million, up from $1.4 million in the previous period of 2018.