INDEX TO FINANCIAL STATEMENT Audited Financial Statements for HealthCor Catalio Acquisition Corp.: Page Report of Independent Registered Public Accounting Firm F-2 Balance Sheet F-3 Notes to Financial Statement F-4 REPOR

INDEX TO FINANCIAL STATEMENT

Audited Financial Statements for HealthCor Catalio Acquisition

REPORT OF INDEPENDENT REGISTERED PUBLIC

To the Shareholders and the Board of Directors of

HealthCor Catalio Acquisition Corp.

Opinion on the Financial Statement

We have audited the accompanying balance

sheet of HealthCor Catalio Acquisition Corp. (the "Company") as of January 29, 2021, and the related notes (collectively

referred to as the "financial statement"). In our opinion, the financial statement presents fairly, in all material

respects, the financial position of the Company as of January 29, 2021 in conformity with accounting principles generally

accepted in the United States of America.

This financial statement is the responsibility

of the Company's management. Our responsibility is to express an opinion on the Company's financial statement based

on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) ("PCAOB")

and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable

rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audit in accordance with

the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether

the financial statement is free of material misstatement, whether due to error or fraud. The Company is not required to have, nor

were we engaged to perform, an audit of its internal control over financial reporting. As part of our audit, we are required to

obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness

of the Company's internal control over financial reporting. Accordingly, we express no such opinion.

Our audit included performing procedures

to assess the risks of material misstatement of the financial statement, whether due to error or fraud, and performing procedures

that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures

in the financial statement. Our audit also included evaluating the accounting principles used and significant estimates made by

management, as well as evaluating the overall presentation of the financial statement. We believe that our audit provides a reasonable

basis for our opinion.

We have served as the Company's auditor since 2020.

HEALTHCOR CATALIO ACQUISITION CORP.

The accompanying notes are an integral

part of the financial statement.

NOTES TO FINANCIAL STATEMENT

NOTE 1 - ORGANIZATION

AND PLAN OF BUSINESS OPERATIONS

Catalio Acquisition Corp. (the "Company") is a blank check company incorporated as a Cayman Islands exempted company

on November 18, 2020. The Company was formed for the purpose of effecting a merger, share exchange, asset acquisition, share

purchase, reorganization or similar business combination with one or more businesses ("Business Combination").

the Company is not limited to a particular industry or geographic region for purposes of completing a Business Combination, our focus will be on the healthcare industry in the United States and other developed countries.

The Company is an early stage and emerging growth company and, as such, the Company is subject to all of the risks associated

with early stage and emerging growth companies.

of January 29, 2021, the Company had not commenced any operations. All activity for the period from November 18, 2020

(inception) through January 29, 2021 relates to the Company's formation and the initial public offering ("Initial

Public Offering"), which is described below. The Company will not generate any operating revenues until after the completion

of a Business Combination, at the earliest. The Company will generate non-operating income in the form of interest income from

the proceeds derived from the Initial Public Offering. The Company has selected December 31 as its fiscal year end.

The registration statement

for the Company's Initial Public Offering became effective on January 26, 2021. On January 29, 2021, the Company

consummated the Initial Public Offering of 20,700,000 Class A ordinary shares (the "Public Shares"), which includes

the full exercise by the underwriter of its over-allotment option in the amount of 2,700,000 Public Shares, at $10.00 per Public

Share, generating gross proceeds of $207,000,000 which is described in Note 3.

the closing of the Initial Public Offering, the Company consummated the sale of 614,000 shares (the "Private Placement Shares")

at a price of $10.00 per Private Placement Share in a private placement to HC Sponsor LLC (the "Sponsor"), generating

gross proceeds of $6,140,000, which is described in Note 4.

amounted to $11,928,907, consisting of $4,140,000 of underwriting fees, $7,245,000 of deferred underwriting fees and $543,907 of

other offering costs. In addition, at January 29, 2021, cash of $1,141,100 was held outside of the Trust Account (as defined

below) and is available for the payment of offering expenses and for working capital purposes.

closing of the Initial Public Offering on January 29, 2021, an amount of $207,000,000 ($10.00 per Public Shares) from

the net proceeds of the sale of the Public Shares in the Initial Public Offering and the sale of the Private Placement Shares

was placed in a trust account (the "Trust Account"), and invested will be in U.S. government securities, within

the meaning set forth in Section 2(a)(16) of the Investment Company Act, with a maturity of

185 days or less, or in any open-ended investment company that holds itself out as a money market fund meeting certain

conditions of Rule 2a-7 of the Investment Company Act, as determined by the Company, until the earlier of: (i) the

completion of a Business Combination and (ii) the distribution of the funds in the Trust Account to the Company's

shareholders, as described below.

Company's management has broad discretion with respect to the specific application of the net proceeds of the Initial Public

Offering and the sale of the Private Placement Shares, although substantially all of the net proceeds are intended to be applied

generally toward completing a Business Combination. The Company must complete its initial Business Combination with one or more

target businesses that together have a fair market value equal to at least 80% of the net assets held in the Trust Account (excluding

deferred underwriting commissions and taxes payable on the interest earned on the Trust Account) at the time of the agreement to

enter into a Business Combination. The Company will only complete a Business Combination if the post-Business Combination company

owns or acquires 50% or more of the issued and outstanding voting securities of the target or otherwise acquires a controlling

interest in the target business sufficient for it not to be required to register as an investment company under the Investment

Company Act of 1940, as amended (the "Investment Company Act").

Company will provide its shareholders with the opportunity to redeem all or a portion of their Public Shares upon the completion

of a Business Combination either (i) in connection with a shareholder meeting called to approve the Business Combination or

(ii) by means of a tender offer. The decision as to whether the Company will seek shareholder approval of a Business Combination

or conduct a tender offer will be made by the Company. The shareholders will be entitled to redeem their shares for a pro rata

portion of the amount held in the Trust Account (initially $10.00 per share), calculated as of two business days prior to the completion

of a Business Combination, including any pro rata interest earned on the funds held in the Trust Account and not previously

released to the Company to pay its tax obligations.

The Company will not be permitted to withdraw any of the principal or interest held in the trust account, except with respect to interest

earned on the funds held in the trust account that may be released to the Company to pay its income taxes, if any, until the earliest

of (i) the completion of the Company's initial business combination, (ii) the redemption of the public shares if the Company has not consummated

an initial business combination within 24 months from the closing of this offering, subject to applicable law, and (iii) the redemption

of the public shares properly submitted in connection with a shareholder vote to approve an amendment to the Company's amended and restated

memorandum and articles of association (A) that would modify the substance or timing of its obligation to provide holders of the Class

A ordinary shares the right to have their shares redeemed in connection with the Company's initial business combination or to redeem 100%

of the public shares if the Company does not complete its initial business combination within 24 months from the closing of this offering

or (B) with respect to any other provision relating to the rights of holders of the Class A ordinary shares or pre-initial business combination

activity. Based on current interest rates, the Company expects that interest income earned on the trust account (if any) will be sufficient

to pay its income taxes.

The proceeds deposited in the trust account could become subject to the claims of the Company's creditors, if

any, which could have priority over the claims of its public shareholders.

NOTES TO FINANCIAL STATEMENT

the Company seeks shareholder approval in connection with a Business Combination, it receives an ordinary resolution under Cayman

Islands law approving a Business Combination, which requires the affirmative vote of a majority of the shareholders who vote at

a general meeting of the Company. If a shareholder vote is not required under applicable law or stock exchange listing requirements