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- 1st Group jumps 22pc after purchase order for its virtual healthcare system
- Austco Healthcare wins a $2.6m contract in Singapore
- Invex Therapeutic to shut down clinical trial immediately
Million dollar+ contracts for 1ST Group and Austco
1ST Group (ASX:1ST) jumped by more than 20% this morning after announcing that its virtual care technology company, Visionflex, has received an order with an initial value of $1.1m in upfront revenue.
The purchase order was received from WA Primary Health Alliance (WAPHA) to deliver virtual healthcare across 75 Commonwealth-funded Residential Aged Care Facilities (RACF) in Western Australia.
The initial purchase represents $1.1m in upfront revenue in H1FY24, of which $660k has been received. Additional orders from WAPHA, for other RACFs in Western Australia, are expected to materialise within FY24, the company says.
Seperately, Austco Healthcare (ASX:AHC) has also just won a $2.6m contract to supply its nurse call system and Tacera Pulse software platform to a large private hospital in Singapore.
The Mount Elizabeth Hospital in Singapore is often regarded as a cornerstone of Asia’s private healthcare provider, and has 345 premier beds.
This contract represents a significant advancement for Austco’s nurse call solutions, which is said to be one of the world’s most advanced nurse call systems.
Revenue recognition will commence this financial year (FY24), and with this contract award, Austco’s sales orders have now grown to an all-time high of $36.1 million.
Melodiol’s strong quarter
Melodiol Global Health (ASX:ME1) meanwhile says its Canadian subsidiary Mernova has recorded strong sales revenue and confirmed purchase orders in the September quarter to-date of $1.3m (CA$1.135m).
Mernova is now on track to again achieve significant quarter on quarter growth, with Q3 revenue to date of $1.3m only halfway through the quarter, compared to Q2 full quarter revenue of $1.5m.
In addition to its strong focus on sales growth, Mernova also continues to advance its compliance pathway for GMP (Good Manufacturing Practice) certification.
The company is now in the process of finalising its Vendor Qualification SOP documentation, and addressing final gaps in consultation with regulators in order to complete its Quality Risk Assessment framework.
Invex says clincal trial ‘not viable’
Invex Therapeutics (ASX:IXC) has decided to discontinue its IIH EVOLVE Phase III clinical trial with immediate effect.
The company said that based on research conducted – including interviews with independent opinion leaders and expert recommendations – the board has made the decision that a continuation of the trial and the necessary expenditure required is not viable.
Accordingly, the IIH EVOLVE Phase 3 trial will immediately stop enrolling patients and activating sites, with an orderly wind-down of the trial expected to be completed by 31 December.
The full closure costs with the trial Contract Research Organisation (CRO) are still to be determined but in FY23, the cost was $4.5 million.
Invex will now explore other strategic options, and the company had cash and cash equivalents of $22.5 million at 30 June.
Share prices today:
At Stockhead we tell it like it is. While Melodiol Global Health is a Stockhead advertiser, it did not sponsor this article.