Digirad plans conversion to holding company, tags Noble as new COO

Digirad Corp. (NSDQ:DRAD) said yesterday it plans to convert into a diversified holding company and that it hired David Noble as its new chief operating officer.

The Suwanee, Ga.-based company said it acquired ATRM holdings as an initial “kick-off” transaction as part of its conversion into a holding company. In the deal, shareholders in ATRM will receive consideration consisting of 0.4 shares of Digirad common stock for each share of ATRM they held, which Digirad said is the approximate price ration between the two stocks over the past year.

Digirad said it expects the deal will represent an increase in its shares of less than 5%, and that the deal is expeted to close during the first quarter of next year.

The newly formed holding company will include chairman Jeff Eberwein, healthcare imaging division CEO Matt Molchan, modular building division CEO Dan Koch, newly appointed COO David Noble, CFO Steve Clark and GC and chief compliance officer Hannah Bible.

Prior to joining Digirad, Noble served as a managing member of biz and financial advisory firm Noble Point.

Digirad said that the conversion into a diversified holding company will “create tremendous value for Digirad stockholders, both immediately and over the long-term, because the conversion is projected to: 1) be immediately accretive, 2) improve future revenue, cash flow and earnings growth, at 3) create a platform for bolt-on acquisitions and other growth opportunities,” according to an SEC filing.

In March, Digirad said that it paid $1.3 million to settle a suit brought against it by a former employee claiming the company treated its employees inappropriately.

The post Digirad plans conversion to holding company, tags Noble as new COO appeared first on MassDevice.

from MassDevice https://ift.tt/2x5UORS