Alcidion seals $4.7m deal to track patients in ACT hospitals
Health & Biotech
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Healthcare software maker Alcidion Group will install an “electronic patient journey board” in Canberra hospitals in a deal with ACT Health worth $4.75 million.
The news comes soon after the company (ASX:ALC) finalised the acquisition of patient-tracker MKM Health for up to $16 million.
Alcidion is in the patient records and healthcare analytics game. Its products include the Smartpage system, emergency room dashboard Miya ED and hospital patient information system Miya.
The company’s finance boss Duncan Craig told Stockhead last month he was “expecting positive cashflow” this financial year after the acquisitions.
The latest five-year deal with ACT Health will see mobile patient information system Miya Flow integrated with MKM Health’s Patientrack and clinic messaging system Smartpage. The package will be rolled out at Canberra Hospital and the University of Canberra Hospital, covering 800 beds.
Alcidion chief executive Kate Quirk told Stockhead the company is now focused on leveraging its existing customer relationships now the acquisitions are done, but the are now also “cross-selling opportunities” that have Alcidion’s focus.
“We now have access to a far larger existing customer base across New Zealand, Australia and the UK. In addition the combined entity and product platform makes us a more attractive proposition to our customers,” Ms Quirke said.
The news drove the stock up 8 per cent to 5.6c in early Friday trade. It’s traded between 3.4c and 7.4c over the past year.
The $4.75 million payment will include a $629,000 payment to Alcidion so it can install the system and train staff.
After the first five years there’s an option to extend for another five years.
The agreement has been a couple of years in the making, with Alcidion starting work with MKM Health and Oncall systems in 2017 to prepare for the tender process – before Alcidion had acquired these businesses.
Ms Quirk told investors in a statement this morning the deal shows how all elements of the “enhanced” Alcidion will operate into the future now its acquisitions are complete.