IBA consortium wins $18.5m Malaysian health deal

iTWire: Australian eHealth provider, IBA Health Limited (ASX:IBA), Australia's largest eHealth company, has been selected as part of a consortium to supply and implement a Total Hospital Information System (THIS) in a leading Malaysian public university teaching hospital in a deal valued at over $18.5 million.
The consortium, comprising Technitium Sdn Bhd an associate company of IBA’s Malaysian partner, FSBM Holdings Berhad and IBA Health has been selected by the Malaysian Government and agreements are expected be signed in April.
IBA’s share from the initial contract to supply the core business and clinical systems is expected to exceed $9.3 million for software and implementation services with recurring licence fees of $1.1million per annum after an initial warranty period.
The Consortium was selected after a competitive public tender and evaluation process lasting over 12 months from a panel of international vendors offering products from Nth America, UK, Europe and Asia.
The IBA THIS suite will be deployed in a form so as to move the University Teaching Hospital towards a paper-less and film-less environment using state-of-the-art hardware, software, networking and associated services sourced from the global market place.
Commenting on the project Dato' Tan Hock San President of FSBM Holdings Bhd said, “This is a significant Malaysian Government project. It is part of a strategy by the Ministry of Higher Education, to deliver quality health services to Malaysians, whilst supporting the development of medical, learning and research excellence in Malaysia’s eight University Teaching Hospitals. Key to this strategy is the consolidation and strengthening of administrative and health information management systems at the teaching hospitals.”
“Our partner, IBA Health will deliver globally recognised healthcare information technology to form the foundation of the THIS implementation. Following this implementation there is the potential to roll-out to a further seven University Teaching Hospitals.”
Steve Garrington CEO of IBA said, “In January we had visibility of $10 million new sales through 3 contracts where IBA was in a preferred position; these deals have now been contracted. With further excellent work from the IBA team we have secured another tremendous win, bringing our total for major new business to $17.5 million compared with the $10 million we outlined in our half year report.
“This project, our first for the Ministry of Higher Education will develop as a show case for the remaining seven teaching hospitals and Malaysia’s 130 plus Public Hospitals.”