LONDON (Alliance News) - Craneware PLC said on Tuesday it had won a five-year contract with a hospital operator in the US and had signed an exclusive reseller agreement with VestaCare Inc.
The healthcare industry software company said the contract with the unnamed hospital operator is expected to deliver USD7.5 million revenue over the initial five-year term.
Under the contract, Craneware will be providing the operator with its Chargemaster Corporate Toolkit to make the hospitals reporting procedures more efficient.
It said the full impact of the revenue generated from the contract will be seen from its 2017 full year results onwards.
Elsewhere the Craneware said it had signed a reseller agreement with US-based payments technology company VestaCare for the company's technology to be integrated into Craneware's medical necessity and price estimation product. It said the VestaPay technology would help providers to offer flexible programmes of repayments to patients and reduce the hospitals' exposure to "self-pay" debt.
For the product, Craneware will receive an annual licence fee from customers with an additional revenue-share agreement based on patient collection improvements. No specific financial details on the agreement were disclosed.
"Both of these agreements not only provide Craneware with significant future revenue opportunities, but also further enhance the company's strategic value to customers," said Chief Executive Kieth Nielson.
Craneware shares were up 3.1% at 768.00 pence on Tuesday morning.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
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Craneware (CRW)