Shares of Healwell AI are facing a period of investor uncertainty following the launch of a formal investigation by Canada’s Competition Bureau. The regulatory body has secured a federal court order compelling WELL Health Technologies Corp. to produce extensive documentation related to its acquisition of the AI healthcare provider. The core concern is whether the transaction could substantially lessen competition within the Canadian health technology sector.
Court Mandates Document Disclosure
On December 10, 2025, the Competition Bureau announced that a federal court had granted its application, requiring WELL Health to submit records and information. The probe centers on WELL Health’s assumption of control over Healwell AI and the subsequent acquisition of Orion Health, which was finalized by Healwell on April 1, 2025.
Investigators are assessing several potential impacts of the deal. These include the possibility of a significant reduction in competition for healthcare technology, effects on customer choice, pricing, and the interoperability of disparate software systems. The bureau is also examining if the transaction raises barriers to entry for other market participants and could solidify WELL Health’s position as a dominant provider in the healthcare space.
This regulatory action follows WELL Health’s acquisition of a majority stake in Healwell AI on March 31, 2025. That move coincided with Healwell’s own purchase of New Zealand-based Orion Health. The combined entity now offers a platform encompassing electronic health records, telehealth services, clinical decision support tools, and AI-powered data analytics.
Should investors sell immediately? Or is it worth buying Healwell AI?
Company Bolsters Leadership Amid Probe
Despite the ongoing investigation, Healwell AI continues to execute its corporate strategy. In a separate announcement also dated December 10, the company revealed the appointment of Ian Kidson to its board of directors. Kidson brings decades of experience in financial governance and healthcare corporate leadership. This appointment is viewed as a move to strengthen the company’s governance framework during a critical period.
Acquisition-Driven Financial Performance
Healwell’s recent financial results illustrate the transformative impact of its strategic purchases. For the third quarter of 2025, the company reported revenue of $30.4 million, representing a staggering 354 percent increase compared to the same period last year. This surge was primarily fueled by the integration of Orion Health. Subscription and maintenance revenue saw an even more dramatic rise of 535 percent, reaching $21.0 million.
Furthermore, Healwell achieved an adjusted EBITDA of $0.7 million for the quarter, a notable improvement from a loss of $2.8 million in the prior-year period. Following strategic divestitures in early November 2025 that generated approximately $9.4 million in liquidity, Healwell has repositioned itself as a pure-play SaaS and AI business. It now operates at an annual revenue run-rate of about $120 million.
Outlook Hinges on Regulatory Findings
The Competition Bureau’s in-depth review, focusing on user choice, costs, and access to innovation, suggests a comprehensive analysis of the market’s competitive dynamics is underway. WELL Health has stated its intention to cooperate fully with authorities and has expressed confidence that the investigation will not materially impact its operational business. Whether this assessment proves accurate will become clearer in the coming months. For now, the cloud of regulatory uncertainty remains a key consideration for shareholders.
Ad
Healwell AI Stock: Buy or Sell?! New Healwell AI Analysis from December 12 delivers the answer:
The latest Healwell AI figures speak for themselves: Urgent action needed for Healwell AI investors. Is it worth buying or should you sell? Find out what to do now in the current free analysis from December 12.
Healwell AI: Buy or sell? Read more here...
