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G Medical Innovations signs key agreements with US health service providers

Proactive Investors Thursday, 16 May 2019 ()
G Medical Innovations Holdings Ltd (ASX:GMV) has executed key provider participation agreements with Prime Health Services Inc (PHS) and Ancillary Care Services (ACS) in the US territory. The agreement was made by G Medical’s wholly-owned subsidiary G Medical Diagnostic Services Inc (GMEDx). GMEDx owns two Independent Diagnostic Testing Facility (IDTF) and Mobile Cardiac Telemetry (MCT) operations being, ‘Telerhythmics’ and ‘Cardiostaff’. READ: G Medical Innovations acquires Telerhythmics, expands US footprint The two operations have been successfully integrated with the synergies realising month on month growth in patient numbers. With the addition of the new provider participation agreements (PPA), GMEDx has further increased its footprint in the healthcare delivery system of cardiac monitoring to provide more exposure to its future patient base and third-party payer populations. READ: G Medical Innovations secures first US commercial orders valued at almost US$22 million Obtaining additional access to Medicare reimbursements for services rendered to covered persons under the PPA with PHS and ACS will translate to increased revenue opportunity for GMEDx, as these services are carried out based on individual patient requirements, the treatment modalities utilised and term and frequency of treatment. There is no immediate revenue impact from the PPAs, and the future revenue opportunity to GMEDx is subject to PHS’s and ACS’s individual patient requirements. READ: G Medical Innovations advances mobile health technologies in March quarter G Medical CEO Dr Yacov Geva said: “I am pleased to update our shareholders on the continued expansion of our footprint and relationships in the key US market. “Our new partners are both long-standing and well-respected multi-faceted health service providers of the highest quality in this territory. “Through this, we importantly continue to increase our market share and operations across the US in the lead up towards our proposed NASDAQ dual listing.”
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