Overview of Pacific Smiles Group's latest announcement

Pacific Smiles Group Limited (ASX: $PSQ) has announced the signing of a non-binding Memorandum of Understanding (MoU) with nib Health Funds (nib) to potentially modify its current contractual arrangements for providing gap-free dental services to nib members. The MoU outlines the anticipated changes, including the extension of the gap-free dental offering to Pacific Smiles Dental centres on an exclusive basis for two years, followed by inclusion in a broader nib First Choice Network. These modifications are subject to finalization and execution of the Amendment, with no guaranteed binding agreement at this stage.

Executive commentary on the MoU with nib Health Funds

Pacific Smiles Group is pleased to have reached a non-binding MoU with nib Health Funds, reflecting the strong and enduring partnership between the two organizations. The potential extension of the gap-free dental offering to Pacific Smiles Dental centres demonstrates our commitment to providing quality dental care to nib members. While the finalization of the Amendment is pending, we believe this initiative will enhance the accessibility of preventative dental services and contribute to the overall dental health of the community.

Summary of Pacific Smiles Group's latest announcement

Pacific Smiles Group (ASX: $PSQ) has entered a non-binding MoU with nib Health Funds to explore modifications to its existing contractual arrangements for providing gap-free dental services to nib members. The proposed changes include extending the gap-free dental offering to Pacific Smiles Dental centres on an exclusive basis for two years, followed by inclusion in a broader nib First Choice Network. Additionally, the existing fee arrangements for nib Dentalcare centres will be maintained until May 2027, and other dental operators will no longer be restricted from entering into their own arrangements with nib for a gap-free dental offering. The company's Scheme of Arrangement with National Dental Care (NDC) is progressing as planned, with a Scheme Booklet set to be distributed to shareholders in late June 2024. Pacific Smiles shareholders are advised to stay informed about the upcoming Scheme Meeting, which is expected to be held in early August 2024. The company emphasizes that the announcement contains forward-looking statements and that no guarantee can be provided regarding the finalization of the proposed terms.