TUC Managed IT Solutions (TUC) has merged with CareWorx Inc., a solution provider that specializes in the niche market of senior care facilities.
For now the TUC brand will remain, but going forward the newly merged company will eventually adopt the CareWorx brand and will establish Managed Services and Senior Care divisions that will continue to support all existing TUC and CareWorx customers. TUC was No. 39 on last year’s CDN Top 100 List with revenues between $35 to $40 million.
Together, the two Ontario-based companies will focus on providing managed services for the senior care market.
While senior care is a niche market, MarketResearch.com reported it has the potential to become a mainstream market in the next few years through the aid of Internet of Things technology such as body sensors.
According to that same report, care of the elderly will reach close to $320 billion this year just in the U.S. alone. There are no readily available stats to track the market opportunity in Canada.
An IFA report found the senior population, made up of mostly baby boomers, will reach past 83 million, which is more than double the population in 2012 and approximately twenty percent of the total US population. Roughly 10,000 people will turn 65 every day for the next 20 years! T
New research from the Freedonia Group says those businesses who serve the elder care market are expected to grow 6.3 per cent per year, approaching $400 billion in 2018.
TUC has been providing SMBs with a suite of managed IT and cloud services through a North American service desk. The merger will see TUC offering its technology stack for senior care.
CareWorx, through a strategic partnership with PointClickCare (Electronic Health Records vendor) is supplying hardware, cloud and other services to senior care facilities in Canada and the U.S.
For example, CareWorx provides senior care facilities with wireless networking and mobile technology.
CareWorx’s flagship solution is called eMAR, a mobile computing and wireless networking hardware solution for use with electronic healthcare records.
More than 4,000 senior care facilities operate CareWorx touchscreen solutions to look up their daily electronic healthcare record, the company said.
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Mark Scott, CEO of TUC, will remain the leader of the merged CareWorx. He said TUC and CareWorx have been working very closely since November 2014 on a strategic partnership. “The merger just made sense.”
Mark Tomzak, former CEO of CareWorx will be in charge of the Senior Care division. He said the company’s products and services affect how more than 500,000 senior care workers impact the lives of over half a million residents daily.
A third party is also involved in this deal. Wellington Financial LP led the funding for the merger with EPIC Capital’s healthcare fund. Canaccord Genuity acted as strategic advisors on this merger.
TUC was once known in the market as The Utility Co. and acquired Nitro IT Business Solutions, a perennial CDN Top 100 Solution Provider back in 2012.