Capitol Health Provides Market Update

Capitol Health Limited provide the market with a business update.

Doctor Equity Incentive Scheme

As part of Capitol’s strategy of improved clinical focus and Doctor engagement the Company has introduced a Doctor equity incentive scheme.

The scheme involves the issue of unlisted options over ordinary Capitol shares at a 10% premium to the 30 trading day volume weighted average price prior to the offer date

The scheme is intended to be offered to Doctors on an ongoing basis and has a number of qualifying and vesting conditions;

  • Doctors must be employed for at least 6 months to qualify
  • The options vest over a three year period (end of year 1 -10%, year 2-20%, and year 3-70%)
  • The options have a 3.5 year life
  • Several operational and professional qualifying conditions also exist

The first grant of options was offered to Doctors on 11 May 2018 and has now been completed (Appendix 3B to follow this announcement) and involves the issue of 27.9 million options at a strike price of $0.3006 (30.06 cents per option), to Doctors of the group. 90% of eligible Doctors elected to participate.

The grant of options to eligible Doctors assists in the motivation, retention and reward of Doctors of the Company and its subsidiaries. These options also form an important part of a comprehensive remuneration strategy for the Company’s employees, aligning their interests with those of the Company. Further, it seeks to reward performance in support of achievement of business strategy and allows the participant the opportunity to share in the growth in value of the Company.

Reaffirms FY18 Earnings Guidance

The Board is also pleased to advise it reaffirms its EBITDA earnings guidance (before transaction and ISI costs) issued to the market on 27 February 2018 in the range of $23m -$25m.

Clinic Acquisition and Employment of Dr Ivor Berman

The Board is also pleased to advise that the Company has acquired a small (2 day / week) radiology clinic in metropolitan Melbourne and secured the full-time services of its owner Dr. Ivor Berman. Dr Berman is a leading Musculoskeletal Radiologist and Phlebologist (Vein Specialist). With over 20 years of experience, Dr Berman specializes in the diagnosis and treatment of a variety of musculoskeletal and sports injuries.

Dr Berman will be part of our Vermont clinic group in metropolitan Melbourne (including the new Vermont Private Hospital site). Notably, Dr Berman previously held the role of senior Radiologist at the nearby Knox Private Hospital.


The advice given by Kalkine Pty Ltd and provided on this website is general information only and it does not take into account your investment objectives, financial situation or needs. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. and associated websites are published by Kalkine Pty Ltd ABN 34 154 808 312 (Australian Financial Services License Number 425376). The information on this website has been prepared from a wide variety of sources, which Kalkine Pty Ltd, to the best of its knowledge and belief, considers accurate. You should make your own enquiries about any investments and we strongly suggest you seek advice before acting upon any recommendation. Kalkine Pty Ltd has made every effort to ensure the reliability of information contained in its newsletters and websites. All information represents our views at the date of publication and may change without notice. To the extent permitted by law, Kalkine Pty Ltd excludes all liability for any loss or damage arising from the use of this website and any information published (including any indirect or consequential loss, any data loss or data corruption). If the law prohibits this exclusion, Kalkine Pty Ltd hereby limits its liability, to the extent permitted by law to the resupply of services. There may be a product disclosure statement or other offer document for the securities and financial products we write about in Kalkine Reports. You should obtain a copy of the product disclosure statement or offer document before making any decision about whether to acquire the security or product. The link to our Terms & Conditions has been provided please go through them and also have a read of the Financial Services Guide. On the date of publishing this report (mentioned on the website), employees and/or associates of Kalkine Pty Ltd do not hold positions in any of the stocks covered on the website. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations.



Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s