ALC has immensely been undervalued on it's fundamentals. There is no way in hell that the market is pricing in the potential of this company.
Bare with me here and let’s take a moment to consider the Mid Central Health District contract and the significance of the writing that is clearly displayed between the lines. Let us have a look at Kathryn Cook the CEO of Mid Central and formerly the CEO of Western Health. This is the very same CEO that initiated engagement of Alcidion to create the MIYA platform, with funding provided by BlueSky Allure Capital and the Victoria State Government.
If we connect the dots here: Kathryn Cook left Western Health after commissioning ALC to provide a systems solution for Western Health, which she has stated on record was considered to be a successful implementation. Kathryn then moved back to NZ to take on the role of CEO of Mid Central and as we have seen from the recent announcement decided in her new role to bring ALC over to NZ for a deployment at the Mid Central Health District.
This demonstrates some serious validation of the tech and this opens the door for other 19 (yes… nineteen) NZ health districts to easily jump onto the MIYA platform.
Now it doesn’t stop here, the significance of Kathryn's influence extends much further than simply the the region of Mid Central. Have a look at the who is overseeing New Zealands National Infrastructure Platform. http://www.nzhealthpartnerships.co.nz/governance-groups/ You might have guessed who it was. Kathryn Cook.
Let’s take one second and review exactly what does the National Infrastructure Platform entail. National Infrastructure Platform District Health Boards (DHBs) across the country are changing the way they manage the IT infrastructure which supports the applications and systems they use every day to deliver healthcare to their communities.
So to review: THE, “Brainchild” of the MIYA Platform and CEO who has just signed a binding contract to roll MIYA into 1 of the 20 health districts of New Zealand, now holds the overseeing position for a national infrastructure platform.
The National Health Board must be consulted when a health districts eHealth IT initiative have an expense that exceeds $1,000,000 (or was it 500k I can’t remember) therefore the National Health Board must grant the approval for the proposed expense/project in question. Now here is the kicker… I was told that Kathryn Cook is also the chairperson of the National Health Board. (Please note that I can not find the list of the National Health Board members online anywhere and this is purely based on 2nd hand information, I want that to be clear and as such I would like those reading to take this with a grain of salt until I can find the list [waiting on confirmation from an email]).
If we give each prospective district a conservative $1 million figure for each contract, the 20 districts could attribute to roughly a $20 million opportunity (that could be even higher given that Mid Central went for $1.6NZD). If you factor in that these districts could also then sign onto the MIYA Smart Page platform, @~$500k per install there is the potential for another ~$10 million from NZ. Granted that this is not a sure thing but IMO the likelihood of signing on the other districts is very high.
New Zealand has set out the Digital Health 2020 initiative which illustrates the plans for shifting the core digital technologies in the New Zealand Health Strategy. It guides the strategic digital investments that are expected to occur across the health and disability sector in the next four years. http://www.health.govt.nz/our-work/ehealth/digital-health-2020
If you read over the Digital Hospital directive of the 2020 Plan, you can clearly see how MIYA fit’s the description almost perfectly. http://www.health.govt.nz/our-work/ehealth/digital-health-2020/digital-hospital In a digital hospital, processes are streamlined to create paperless automated digital workflows. The aim is for processes to seamlessly unite patients, doctors, staff, assets and information throughout the hospital. New Zealand public hospitals are already on their way to becoming digital. For example, digital medical imaging systems are quickening the process of reviewing medical images by health care professionals. Electronic prescribing and administration reduces the risk of errors from prescribing, dispensing and administering medicines. If you listen to what Nathan Buzza had to say at the Gold Coast Investor Conference at 5:30 seconds. https://youtu.be/m4PcvcZgGxY?t=329 You can really see how the MIYA platform really does achieve the 2020 goal.
As I have stated before ALC is in the right space, in the right place and at the right time.
