MINER'S REBIRTH AS ALCIDION COMPLETE

Written on the 29 February 2016

MINER'S REBIRTH AS ALCIDION COMPLETE

THE transformation of Naracoota Resources into Australia's newest health technology company, Alcidion (ASX:ALC), is complete with shares in the new-look company resuming trading for the first time since December.

Shares in the Adelaide-based company rose as high as 21 per cent to 6.8c today, before settling just above the previous close of 5.6c.

The shares resumed trading after Naracoota shareholders approved the company's $12.4 million acquisition of Alcidion, which was an effective reverse takeover of the former Perth-based miner.

Alcidion's key asset is the Miya software, designed to provide advanced clinical decision support for clinicians and care teams.

The platform, already used in Victorian hospitals, can be accessed on a variety of mobile devices and guides clinical decision making processes to maximise efficiencies, avoid clinical errors, and reduce costs.

The software is soon to be adopted by Tasmania and the Northern Territory.

Alcidion executive director Nathan Buzza (pictured) says the company has set its sights on expanding into the US market, seizing on the opportunities Obamacare has provided to improve patient care.

"Obamacare means hospitals have to prove they are investing in technology like Miya, otherwise they'll be penalised," says Buzza.

"Add this incentive to the rising costs of healthcare, which technology can help to alleviate, and it is a very good time to be in health informatics."

However, conquering the Australian market is Alcidion's first priority.

South Australian Premier Jay Weatherill, who spoke at Alcidion's ASX launch in Adelaide, says health industries are now the driver of economic activity in Australia, rather than a burden.

"Healthcare and social assistance is the fastest growing sector of our state's economy with total employment increasing by more than 13 per cent between 2012 and 2015 alone," says Weatherill.

"Alcidion has demonstrated that by focusing on practical problem-solving and better patient care, we can both create economic growth and improve people's lives."

Nick Dingam, investment director at Brisbane-based Blue Sky Private Equity which invested $2 million to fund the development of the Miya platform, says the ambitious US strategy could well turn Alcidion into a $100 million company.

"Alcidion's success shows that Australia makes great software that is scalable to larger markets such as the US," says Dingam.

"The listing is a huge opportunity for Alcidion and a great opportunity for investors to get exposure to a health tech business with massive growth potential."

Based on the current share price, Alcidion is valued at $19 million.

 


Latest News

PROFIT BOOST FORECAST AT VILLA WORLD

VILLA World has forecast profit growth of 5 per cent in the first half of FY17 in an earnings guidance released to th...

WP CURVE SOLD TO GODADDY

NASDAQ-listed tech company GoDaddy has bought Gold Coast's WP Curve for an undisclosed sum.

The subscription-b...

BOARD SHAKE-UP TAKES OUT SURFSTITCH FOUNDER

ONLINE actionwear retailer SurfStitch Group (ASX: SRF) has announced a major board shake-up in a move that effectivel...

ORIGIN TO DIVEST UPSTREAM OIL AND GAS BUSINESS

ORIGIN Energy will spin off its upstream oil and gas business in an as-yet unpriced IPO.

It will allow the Sydney-...

Related News

HOW MCDONALD'S AUSTRALIA REDISCOVERED ITS INNOVATIVE SPIRIT

MCDONALD'S is such a ubiquitous part of the Australian landscape today that it is easy to forget how it change...

JB HI-FI IS THE GOOD GUY IN $870 MILLION ACQUISITION

ELECTRONICS giant JB Hi-Fi has formally completed its $870 million acquisition of home appliance chain The Good Gu...

ACCC ACTS AGAINST MERITON'S RIGGED REVIEWS

MERITON Property Services is under fire from Australia's main consumer watchdog, after it allegedly engaged in mi...

ACCC FIRES WARNING SHOT TO IVF PROVIDERS

IVF clinics have been put on notice by consumer watchdog, the Australian Competition and Consumer Commission (ACCC...

Contact us

Email News Update Sign Up Contact Details

Subscribe to our mailing list

* indicates required
Email Format

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter