American telehealth platform Hims & Hers Health (NYSE: HIMS) made public today their definitive agreement to procure Eucalyptus, an Australian digital health firm. The arrangement will permit Hims & Hers to broaden its customized healthcare venture into worldwide markets, encompassing both Australia and Japan, and to reinforce its foothold in the UK, Germany, and Canada via collaborative efforts with local entities.
Eucalyptus manages several consumer-facing brands, notably the Juniper weight management program and the Pilot men’s telehealth platform, having provided services to over 775,000 clients globally. The business possesses a history of successfully penetrating novel markets and is acknowledged for its rigorous clinical methodology, client-centric approach, and adherence to local regulatory frameworks. Furthermore, Eucalyptus stands as the premier Australian telehealth company to have earned accreditation from the Australian Council for Healthcare Standards (ACHS).
The acquisition incorporates roughly $240 million in cash at the transaction’s completion, with the residual amount slated for disbursement within 18 months post-closing, with supplemental payments contingent on attaining specific fiscal objectives through 2029. Hims & Hers intends to finance the majority of the acquisition through its existing capital reserves and prospective operational cash flow. The deal is anticipated to finalize by mid-2026, pending regulatory clearances.
Following the acquisition’s conclusion, Eucalyptus’s present CEO, Tim Doyle, will assume the role of Hims & Hers’ senior vice president of international operations, spearheading the company’s business expansion beyond the borders of the U.S. The synergy of both entities will enable Hims & Hers to augment its operational infrastructure, amplify its presence in the global arena, and extend personalized healthcare solutions to millions of clients, mirroring the triumphant implementations within the U.S.
Andrew Dadum, Founder and CEO of Hims & Hers, highlighted that universal healthcare challenges necessitate global responses, and the partnership with international specialists will empower the company to enhance accessibility to superior and tailored medical care. Tim Doyle, CEO of Eucalyptus, conveyed that uniting with Hims & Hers will expedite the transition towards reasonably priced and top-tier medicine, emphasizing preventative measures over mere treatment.
Established in 2019, Eucalyptus has ascended to become Australia’s largest digital health provider, boasting annual revenue exceeding $450 million. The organization has facilitated nearly two million consultations across Australia, the UK, Germany, Japan, and Canada, demonstrating substantial expansion and operational prowess.
Source: Reuters