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PRO MEDICUS LIMITED — Capital/Financing Update 2015
Jan 11, 2015
65579_rns_2015-01-11_dacc76aa-a725-4026-b6d0-5e6d43014641.pdf
Capital/Financing Update
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Pro Medicus Limited 450 Swan Street Richmond Victoria 3121 Australia T +61 3 9429 8800 F +61 3 9429 9455 promedicus.com
Pro Medicus signs A$5 million deal with US outpatient group Zwanger-Pesiri
12th January 2015
Key points :
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Zwanger-Pesiri to use Pro Medicus’ Visage 7 for primary diagnosis and clinical distribution of medical images.
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Five-year deal, with base value to PME of A$5 million (US$4.1 million).
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Transaction-based model with potential upside.
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Strategically positions Visage in the private outpatient (Imaging Centre) market.
Leading imaging IT company Pro Medicus Limited [ASX: PME] today announced the signing of an A$5 million (US$4.1 million) five-year contract with Zwanger-Pesiri Radiology (“Zwanger-Pesiri”) – a highly respected radiology group and outpatient imaging provider on New York’s Long Island.
The group will use Pro Medicus’ Visage 7 enterprise viewer technology as the core component of its Deconstructed PACS[SM] enterprise imaging strategy enabling the group to provide exceptionally fast, state-of-the-art imaging to their reading radiologists and referring physicians.
Zwanger-Pesiri is one of the largest US providers of outpatient imaging services with 18 imaging centers and 58 radiologists, regionally distributed across Long Island. The group is known for acquiring the latest in advanced imaging technology being the first private radiology practice in the US to purchase a PET/MRI (positron emission tomography/magnetic resonance imaging) scanner. This is in addition to significant recent investments in 3D mammography or digital breast tomosynthesis (DBT) and other leading edge technologies.
“Based on the continued growth of the Zwanger-Pesiri imaging center network, and our strategic investment in the latest modalities, it was apparent that our legacy PACS could not keep up with our needs,” said Dr Steven L. Mendelsohn, CEO. “We are committed to using the most advanced technology and did an extensive review of the available systems on the market. Once we experienced what Visage 7 offered, using our own studies across our own network, it was immediately clear that this was the system for us. We see our investment in Visage as a key enabler to our future growth.”
Pro Medicus Limited ABN 25 006 194 752
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Pro Medicus Limited 450 Swan Street Richmond Victoria 3121 Australia T +61 3 9429 8800 F +61 3 9429 9455 promedicus.com
The contract, which is based on an operational (transactional) model, covers a five-year term with an estimated value to Pro Medicus of A$5 million (US$4.1 million) over the life of the contract, with potential for further upside.
“This deal is very strategic for us for a number of reasons,” said Dr Sam Hupert, CEO of Pro Medicus. “Firstly, it builds on the substantial footprint we have established in the US by providing us with a high profile reference account in the heavily populated East Coast of the US. Secondly, it will open up further opportunities for us in the large US outpatient/imaging centre market. This market is highly fragmented and is currently undergoing a major wave of consolidation. Finally, it further demonstrates that our Visage 7 technology addresses the entire spectrum of radiology practices. We now have major sales in every segment of the world’s largest radiology IT market ranging from remote reading/teleradiology groups, outpatient imaging centres, through to some of the largest health systems in the country.”
For further information:
Dr Sam Hupert Chief Executive Officer Pro Medicus Limited Ph: +61 3 9429 8800
Media: Richard Allen Oxygen Financial Public Relations Ph: +61 3 9915 6341
About Pro Medicus Limited:
Pro Medicus Limited [ASX: PME] is a leading imaging IT provider. Founded in 1983, the company provides a full range of radiology IT software and services to hospitals, imaging centers and health care groups worldwide. In late January 2009, the company announced the purchase of Visage Imaging, which has become a global provider of leading edge enterprise imaging solutions, pioneering the best-of-breed, or Deconstructed PACS[SM] enterprise imaging strategy. Visage 7 technology delivers amazingly fast, multi-dimensional images streamed via an intelligent thin-client viewer. The company offers a leading suite of RIS, PACS and e-health solutions constituting one of the most comprehensive end-to-end offerings in radiology. Pro Medicus has global offices in Melbourne, Berlin and San Diego.
Pro Medicus Limited ABN 25 006 194 752