Ann: Notice of Annual General Meeting/Proxy Form, page-60

The strength of the combined group

The strengths of the new Alcidion are well summarised in the Chairman’s AGM address and discussed on the HC forum, namely:

1. Enhanced service capabilities,
2. Enlarged customer base,
3. Critical mass, and
4. Improved financial position.

Other strengths to note is the opportunity for Alcidion to leverage off the relationships established by MKM Health and etc. Anyone who is involved in procurement (whether public or private) would recognise the importance of having a good relationship (one based on positive supplier-customer experience and ability to consistently deliver) with the right people.

As previously discussed, as stand-alone companies, both the previous Alcidion and MKM Health face competition from multinationals in the niche areas. As a combined entity, however, Alcidion is now offering a more compelling service proposition to customers. The ability for different systems to talk to each other is a major bonus. If anyone wants to know what happens when different IT systems do not talk effectively to each other, refer to the new Royal Adelaide Hospital IT debacle.

To a non-tech savy person like me, I am also of the understanding that the effectiveness of the AI in the Miya platform increases in conjunction with the number of individual data feed. With Patientrack, Alcidion now has 500 million data feeds. This number would only increase as more contracts are signed and etc.

It is also clear to me that Alcidion’s long-term strategic has remained unchanged even with a new CEO. Alcidion remains committed to pursuing opportunities in the higher-valued space AI and data analytics. Ongoing funding towards R&D would be required. The MKM Health and etc segments of the enlarged Alcidion group is able to provide the required recurring funding for R&D and working capital without the necessity of debt and/or potential capital raisings.