Cronos Australia (ASX:CAU) has announced that the physical CDA Clinics on the Gold Coast, Brisbane and Sunshine Coast will close by 31 March 2023 and transition to a 100% telehealth service.
This will provide significant overhead cost savings, as well as continued quality patient care and a highly scalable business model due to the rapid adoption of telehealth during the COVID-19 pandemic.
The CDA Dispensary at the Gold Coast clinic will also cease operations and Cronos Australia intends to redeploy impacted staff into other roles, with minimal job losses.
Investment in systems and human capital will support the growth of the business.
Following the announcement, shares of Cronos Australia (ASX:CAU) were unchanged at $0.59.