Full Press Release Details
Digital Health to Acquire VSee Labs and iDoc Telehealth Solutions
with New Entity Valued at Approximately $110 Million
Publicly listed entity
expected to broaden VSee's and iDoc's reach and penetration adding commercial capabilities and capturing multiple synergies
Boca Raton, FL, June 16, 2022 (GLOBE NEWSWIRE) -- Digital Health Acquisition
Corporation ("Digital Health") (NASDAQ: DHAC), today announced that it has signed a definitive agreement to acquire VSee
Lab, Inc. (VSee), a leading telehealth software company and iDoc Telehealth Solutions, Inc. ("iDoc"), a leading neurocritical
care and intensive care telehealth provider.
The newly merged company will bring together the organizations and
leadership teams of San Jose, California-based VSee, and Houston, Texas-based iDoc with the Nasdaq-listed Digital Health public company.
Upon closing of the transaction, which is expected to occur in the third quarter of 2022, it is anticipated that the combined company
will adopt the corporate name VSee Health, Inc., and will be listed on the Nasdaq Capital Market under the proposed new ticker symbol
"VSEE." The transaction is expected to result in a valuation of approximately $110 million for the combined entity.
"The telehealth industry is currently considered to be among
the most attractive industries in terms of growth potential," said VSee CEO, Dr. Milton Chen. "We believe we have one
of the most customizable and easiest plug and play solutions for medical providers, which following the merger, will be able to be expanded
without our historical resource constraints."
VSee provides a proprietary SaaS platform that enables medical providers
to provide telehealth services with end-to-end, HIPPA-compliant encrypted payment solutions with multiple additional real-time integrated
and interactive capabilities. Because of its flexibility and security, VSee was selected as exclusive supplier to NASA, and was
also recently selected by the Ukraine to customize a telehealth solution, which it accomplished in less than 72 hours.
The newly combined company, VSee Health, will integrate iDoc's
intensive care and neuro solution as its first module for the VSee software platform, with the goal of adding additional modules in the
future. Dr. Imo Aisiku, founder and CEO of iDoc commented, "Our combination not only builds on two highly successful and
profitable individual companies, but also makes more of a difference for patients as medicine and health care delivery systems transform."
Transaction Overview
The merger will provide the consolidated company with access to significant
additional cash subject to the level of redemptions from Digital Health's public stockholders, that are targeted to be used to expand
modules onto the VSee Platform, widening both VSee's and iDoc's customer bases, and for general working capital purposes.
The boards of directors of VSee, iDoc, and Digital Health have unanimously
approved the proposed transaction. The closing is subject to the approval of VSee's, iDoc's, and Digital Health's stockholders,
as well as other customary closing conditions, including Digital Health's registration statement being declared effective by the
Securities and Exchange Commission and the expiration or termination of any applicable Hart-Scott-Rodino Act waiting periods. The transaction
is expected to close by the end of the third quarter 2022, assuming satisfaction of closing conditions set forth in the parties'
definitive agreement.
Additional information about the proposed transaction, including a
copy of the Business Combination agreement and plan of merger and an investor presentation, will be provided in a Current Report on Form
8-K to be filed today with the Securities and Exchange Commission ("SEC") and available at www.sec.gov.
About Digital Health, VSee, and iDoc Telehealth
VSee Lab is a no-code or low-code SaaS platform that enables clinicians
and enterprises to create their telehealth workflows without programming. VSee's system encapsulates more than
500 man-years of development, creating a mobile app or telehealth system to be integrated into existing hospital operations within days.
iDoc Telehealth is an acute care organization, set of integrated
telehealth technologies, and team of neurointensivists, neurologists, and nurses that treat and coordinate care for acutely ill patients
24/7 in the Neurointensive Care Unit (NICU) and ICU for stroke, brain trauma, and a wide range of neurological conditions.
Digital Health, a Delaware Corporation, is comprised of a team of
industry professionals and leaders with deep insight and relationships in healthcare, software systems, mergers and acquisitions and
related fields. Digital Health was formed as a special purpose acquisition company (SPAC) that raised $115 million in an initial
public offering in November 2021, intending to utilize the proceeds for acquiring profitable and scalable businesses in healthcare.
More information can be found at www.digitalhealthacquisition.com,
www.VSee.com and www.iDocvms.com, ,
Forward-Looking Statements
This document contains certain forward-looking statements within the
meaning of the federal securities laws with respect to the proposed transaction between VSee, iDoc and Digital Health. These forward-looking
statements generally are identified by the words "believe," "project," "expect," "anticipate,"
"estimate," "intend," "strategy," "future," "opportunity," "plan,"
"may," "should," "will," "would," "will be," "will continue,"
"will likely result," and similar expressions. Forward-looking statements are predictions, projections and other statements
about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties.
Many factors could cause actual future events to differ materially from the forward-looking statements in this document, including but
not limited to: (i) the risk that the transaction may not be completed at all, which may adversely affect the price of Digital Health's
securities, (ii) the risk that the transaction may not be completed by Digital Health's business combination deadline, and the
potential failure to obtain an extension of the business combination deadline if sought by Digital Health, (iii) the failure to satisfy
the conditions to the consummation of the transaction, including the adoption of the Merger Agreement by the shareholders of Digital
Health, the satisfaction of the minimum trust account amount following redemptions by Digital Health's public shareholders and
the receipt of certain governmental and regulatory approvals, (iv) the occurrence of any event, change or other circumstance that could
give rise to the termination of the Merger Agreement, (v) the effect of the announcement or pendency of the transaction on VSee's
and/or iDoc's business relationships, operating results and business generally, (vi) risks that the proposed transaction disrupts
current plans and operations of VSee and/or iDoc and potential difficulties in VSee and/or iDoc employee retention as a result of the
transaction, (ix) the outcome of any legal proceedings that may be instituted against VSee and/or iDoc or against Digital Health related
to the Merger Agreement or the transaction, (vii) the ability to obtain or maintain the listing of the Digital Health's securities
a national securities exchange, (viii) the price of Digital Health's securities may be volatile due to a variety of factors, including
changes in the competitive and highly regulated industries in which Digital Health plans to operate or VSee and iDoc operate, variations
in operating performance across competitors, changes in laws and regulations affecting Digital Health's or VSee's and/or
iDoc's business and changes in the combined capital structure, (ix) the ability to implement business plans, forecasts, and
other expectations after the completion of the proposed transaction, and identify and realize additional opportunities, and (x) the risk
of downturns and a changing regulatory landscape in the highly competitive asset management industry.
The foregoing list of factors is not exhaustive. You should carefully
consider the foregoing factors and the other risks and uncertainties described in the "Risk Factors" section of Digital Health's
registration on Form S-1 (File No. 333-260232) and Annual Report on Form 10-K, as well as the registration statement on Form S-4 discussed
below and other documents filed by Digital Health from time to time with the SEC. These filings identify and address other important
risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements.
Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking
statements, and neither VSee, iDoc nor and Digital Health assume any obligation and none of them intend to update or revise these forward-looking
statements, whether as a result of new information, future events, or otherwise. Neither VSee, iDoc nor Digital Health gives any assurance
that either VSee, iDoc or Digital Health or the combined company will achieve its expectations.
Important Information and Where to Find It
This document relates to a proposed transaction between VSee, iDoc
and Digital Health. This document does not constitute an offer to sell or exchange, or the solicitation of an offer to buy or exchange,
any securities, nor shall there be any sale of securities in any jurisdiction in which such offer, sale or exchange would be unlawful
prior to registration or qualification under the securities laws of any such jurisdiction. Digital Health intends to file a registration
statement on Form S-4 with the SEC, which will include a document that serves as a prospectus and proxy statement of Digital Health,
referred to as a proxy statement/prospectus. A proxy statement/prospectus will be sent to all Digital Health shareholders. Digital Health
also will file other documents regarding the proposed transaction with the SEC. Before making any voting decision, investors and
security holders of Digital Health are urged to read the registration statement, the proxy statement/prospectus and all other relevant
documents filed or that will be filed with the SEC in connection with the proposed transaction as they become available because they
will contain important information about the proposed transaction.
Investors and security holders will be able to obtain free copies
of the registration statement, the proxy statement/prospectus and all other relevant documents filed or that will be filed with the SEC
by Digital Health through the website maintained by the SEC at www.sec.gov.