Goldsearch Limited (ASX:GSE) is raising up to $600,000 through a...

Goldsearch Limited (ASX:GSE) is raising up to $600,000 through a share purchase plan to fund due diligence on the acquisition of National Health Network.

The company is offering up to 250 million shares priced at $0.0024 each – a 20% discount to the volume weighted average price of its shares during the five days prior to the announcement.

This follows its $100,000 placement of up to 41.6 million shares at the same price to professional and sophisticated investors earlier this month.

Funds raised under the SPP will also be used to fund:

- Legal accounting and transaction costs incurred in the acquisition of NHN;
- Further development of the telemedicine opportunity with Ring MD; and
- For general working capital.

Healthcare Acquisition

In October, the company agreed to acquire 100% of NHN, a private healthcare services company.

NHS assets include:

- Franchise agreements with two medical providers relating to after-hours general medical services and the rights to further develop the after-hours medical franchise business;
- An established business providing non-emergency patient transport services across the Sydney region; and
- An executed a heads of agreement to acquire Galen and Gray Pty Ltd a developed business in the Occupational Medical Services and Workcare Injury Management Sector.

On completion of the transaction GSE shareholders will hold about 20% of the combined entity while NHN shareholders will hold about 80% of the shares in the combined entity.