16th Apr 2015 07:00
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16 April 2015
Constellation Healthcare Technologies, Inc.
("Constellation", "CHT" or "the Group")
Four contract wins
Highlights
· Signed contracts with four new Revenue Cycle Management clients to;
o Collect $136 million in billings annually
o Bill on behalf of nearly 400 new doctors
o Provide approximately $6 - 7 million in annual revenue
o Provide approximately $2 - 3 million in annual EBITA
· Contracts due to commence with effect from 1 May and 1 June this year
Constellation Healthcare Technologies, Inc., the US Healthcare Services Company, is pleased to announce that it has signed contracts with four new Revenue Cycle Management clients.
The board estimates that across the four contracts CHT will collect approximately $136 million in billings annually on behalf of nearly 400 new doctors. This should result in approximately $6 - 7 million in annual revenue and approximately $2 - 3 million in annual EBITA. One of the contracts will also allow CHT to share in collection increases over 20 per cent. The Contracts that have been signed are for an initial three year term. Two contracts commence with effect from 1 May and two contracts commence from 1 June 2015.
The clients are based in Georgia, Arkansas, California and Louisiana and cover E.N.T, Multispecialty Medicine and Orthopedic Care. Two of the new client contracts were won as a result of direct referrals and were not subject to competitive tendering. The dedicated sales team at CHT has been working on closing these accounts for the past six months. These are the first new organic wins since the Company's successful IPO in December 2014. As a result of this strong organic growth, the CHT platform is now responsible for the collection of approximately $1.6 billion in billings annually on behalf of approximately 5,100 doctors across the U.S.
Paul Parmar, Chief Executive Officer of CHT, said:
"2015 has got off to an excellent start for CHT. These new contracts represent a step change for us in terms of organic growth and come close on the back of our excellent 2014 results and the successful acquisition of PPP. The scale and technology of the platform that we have built is well positioned for winning new business. The successful strategy of hiring senior sales executives and customer service personnel is conducive to our organic growth strategy".
Enquiries:
Constellation Healthcare Technologies Paul Parmar, Chief Executive Officer
| c/o Redleaf Polhill +44 (0)20 7382 4730 |
finnCap - Nominated Adviser and Joint Broker Julian Blunt / Scott Mathieson
| +44 (0)20 7220 0500 |
Stifel - Joint Broker Jonathan Senior / Giles Balleny / Ben Maddison | +44 (0)20 7710 7600 |
Redleaf Polhill - PR adviser Rebecca Sanders-Hewett / Charlie Geller / David Ison
|
+44 (0)20 7382 4730 |
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