News: Naracoota Resources flags medical momentum

Naracoota Resources’ (ASX:NRR) decision last month to focus on health tech instead of mining has already translated into positive news in the form of a A$1.75 million government hospital service contract.

Healthcare tech provider Alcidion Corporation Pty, which was acquired by Naracoota in mid-August in a reverse takeover, has secured a contract with the Northern Territory Department of Health.

In an extension of a previous arrangement, the deal will see Alcidion install and commission its Miya patient monitoring system in the Royal Darwin and Alice Springs hospitals’ emergency departments.

About $1.3 million worth of the contract will involve the installation and commissioning of Miya, while the remaining $420,000 will represent the licensing, maintenance and support component of the contract.

Of interest this component is over four years and adds annuity style revenues beyond the one off installation and commissioning.

The Miya platform reduces the cost of unnecessary tests by providing doctors with best practice prompting based on the patient’s clinical presentation, thus reducing human error.

 

Hospital staff members are able to see the status of orders and identify workflow problems that may affect the timely delivery of lab results and overall patient flow and treatment.

The update confirms Naracoota’s exit from the mining sector and its new horizons in healthcare tech with Alcidion, a company focusing on technological solutions and systematic improvements in hospital procedures since 2000.

The reverse takeover between Naracoota and Alcidion has been valued at $12.4 million.

In the lead-up to the deal, Naracoota completed the sale of its Horseshoe Range project and part of the Fraser Range project in Western Australia to Resource and Investment (ASX:RNI) in May.

The sale included a total of 3.8 million shares in RNI to be issued to Naracoota, maintaining some exposure to the mining sector for the transitioning company.

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