We are pleased to make several announcements for Alcidion this morning, following yesterday’s trading halt.
Alcidion has acquired ExtraMed Limited, a leading UK NHS provider with a 20+ year track record specialising in patient flow management software, with nine existing NHS customers. This acquisition positions Alcidion as the leader in the UK market for patient flow, raising our overall presence to 27 NHS Trusts (~19% of UK acute care market) and providing further touch points to cross sell our Miya Precision product suite.
In addition, ExtraMed, in partnership with Hitachi Consulting, has signed a large-scale contract to build the UK’s first fully integrated hospital-wide Digital Command Centre for initial deployment at Salford Royal NHS Trust, providing a strong opportunity for Alcidion to position our Miya Precision platform within this offering.
ExtraMed is forecast to contribute, based solely on existing contracts, FY2022 revenue of $2.7M, generating EBITDA of $0.5M and with positive cash flow. The consideration for ExtraMed was £5.3M (A$9.6M), paid entirely up front in cash.
The combination of ExtraMed’s established solutions, customer base and highly experienced staff with Alcidion’s UK presence enhances our competitive advantage and reinforces our commitment to this market. It also provides strong opportunity for further growth as we look to introduce our Miya product range to ExtraMed customers. You can read more about the acquisition in today’s announcement.
Strong organic growth in Q3Sales momentum has continued in Q3 FY2021. We are pleased to report our total contracted revenue to be recognised in FY2021 (excluding ExtraMed Q4 revenue) now stands at $24.7M, exceeding FY2020 full year revenue by 33%. Alcidion added $3.0M during the quarter, driven largely by contract extensions in all markets.
We also announced today that Alcidion has been selected as a preferred supplier, as part of a consortium, for a major health IT project to maintain personal health records and support clinical decision making across the Australian Defence Force. The initial total contract value is $21M over 5.5 years.
Read more in the separate ASX release
here.$17.9M capital raiseToday we also announced we have received firm undertakings to raise $15.4M via an institutional placement to new and existing institutional and professional investors, as well as an additional share purchase plan to raise approximately $2.5M from existing investors by offering them a chance to buy shares at the same price paid by investors participating in the placement. Terms for the SPP will be issued next week. Funds raised will be allocated to restoring cash reserves following the ExtraMed acquisition and providing working capital to continue our growth strategy. More details of the placement and SPP can be found in today’s announcement.
Read the full announcement
here.Investors are invited to join a webcast hosted at
11:00am AEST this morning by Alcidion Managing Director Kate Quirke and Chief Operating and Financial Officer Colin MacKinnon, to discuss today’s announcements.
Please register
using this link.If you are unable to attend, a recording will be made available on our website following the webcast.
