A Cholesterol-Busting Deal That Could Skyrocket HLS Therapeutics in Canada

HLS Therapeutics is making a bold move that could turn its fortunes north of the border—and investors should sit up and take notice. The company just struck a partnership with Esperion Therapeutics to commercialize two groundbreaking cholesterol-lowering drugs, NEXLETOL® and NEXLIZET®, in Canada. This isn’t just a routine deal; it’s a strategic play that could unlock massive growth for HLS while addressing a critical healthcare gap. Let’s break it down.

The Deal: A Win-Win for Both Sides

HLS is getting exclusive rights to sell these once-daily, non-statin therapies in Canada—a market where roughly 500,000 patients can’t tolerate statins or reach their LDL-C reduction goals. The drugs, already approved in the U.S. and Europe, are backed by a robust clinical trial (the CLEAR Outcomes Trial) involving nearly 14,000 patients. That’s credibility in spades.

The financial terms are smart:
- $1 million upfront from HLS to Esperion.
- $1 million more upon Health Canada approval (expected late 2025).
- Up to $5 million in milestones tied to regulatory wins, pricing deals, and sales targets.
- Royalties on Canadian sales, though the exact rate is under wraps.

And here’s the kicker: HLS doesn’t need to borrow a dime to fund this. The company is using its existing cash reserves and infrastructure—no dilution of shareholders, no new debt. With $12.6 million in Q1 2025 revenue and a 41% jump in EBITDA to $3.8 million, HLS is financially primed to capitalize on this opportunity.

Why Canada? The Market is Burning

Canada’s healthcare landscape is ripe for disruption. Heart disease is the second-leading cause of death, killing 14 people per hour in that demographic. With 2.6 million adults living with diagnosed heart disease, there’s a massive unmet need. NEXLETOL and NEXLIZET aren’t just drugs—they’re lifelines for patients who’ve hit a dead end with statins.

HLS’s existing Canadian salesforce, already driving a 13% revenue surge (local currency) thanks to Vascepa’s 34% sales jump, can hit the ground running. This isn’t a moonshot; it’s a strategic extension of their cardiovascular portfolio.

The Risks? Manageable

Sure, there are hurdles. Regulatory delays, reimbursement fights, and competition could trip up the launch. But let’s be real: Esperion’s U.S. and EU success is a strong leading indicator. Plus, HLS’s track record of negotiating pricing deals (like with Vascepa) gives it a leg up.

The Bottom Line: Buy the Dip, Hold the Rally

This deal is a textbook example of smart expansion. HLS is leveraging its strengths—existing infrastructure, Canadian knowhow—to tap into a $500 million+ market opportunity in Canada. With minimal upfront costs and a path to high-margin royalties, this could be a transformative catalyst for the stock.

Investors, take note: HLS is a buy now. The math is simple—500,000 patients, a proven drug, and a company primed to capitalize. This isn’t just about cholesterol; it’s about HLS’s future as a healthcare powerhouse north of the border.

Final Take:
- Market Need: 500,000+ patients in Canada require non-statin therapies.
- Financial Strength: HLS’s $12.6M revenue and $3.8M EBITDA provide runway.
- Upside: Royalties and sales milestones could add millions in profits.

This is a buy-and-hold situation. If you’re in healthcare, HLS just got a whole lot more interesting. Don’t miss the train—this one’s headed straight for the top!

Final Note: Always do your own research and consult a financial advisor before making investment decisions.