Dual-listed mental health technology company Medibio (ASX: MEB) has struck a potentially lucrative commercial deal with St John of God Health Care (SJGHC) to deploy ‘Medibio Inform’, Medibio’s new product launched earlier this month as part of its newly established corporate health division.
Medibio said that the new division has the “potential to deliver a 2x to 3x return on investment”, with its corporate mental health platform creating a unique opportunity for companies to actively engage around mental health and reduce the burden of mental health conditions on individuals and organizations.
The SJGHC is currently the largest “Catholic sector hospital services provider” and Australia’s 3rd largest private healthcare provider overall, making the deal a highly encouraging one for the A$12 million-capped company.
The SJGHC currently operates 23 divisions, including 17 hospitals, with more than 3,350 beds. Over the past 2 years, the organisation has treated more than 350,000 overnight and same day patients and delivered more than 12,500 babies.
According to Medibio, the SJGHC has grown significantly and is now the 20th largest private company in Australia, employing more than 14,500 caregivers.
According to John Fogarty from Western Australian Hospitals, the deal will help the SJGHC to promote employee wellbeing and substantiates its “leadership in digital healthcare.”
Thought leaders in digital healthcare
The agreement includes the deployment of Medibio’s solution for corporate health to SJGHC’s 14,500 employees across Australia.
The terms of the agreement state the Medibio’s platform will incorporate a “check-in component encompassing both biometric screening in conjunction with a 12-minute subjective survey” in addition to a complete employee assistance plan providing unique insights into individual and organisational mental health.
The contract also includes the option of additional mental health care services provided to be provided for SJGHC employees needing additional help and brings with it an anticipated revenue of A$58,000 for an initial 4-week program, according to Medibio.
“Providing an avenue for individuals and organisations to address the ever-growing burden from mental health places Medibio in a unique position. Having established the first biometric-based mental health screening application alongside a proprietary subjective survey, enables our corporate clients to better understand their workforce and ensure that individuals are able to address their mental health proactively,” said Mr Jack Cosentino, CEO and managing director of Medibio.
Medibio shares reacted positively to the news by jumping as high as $0.18 per share in early trade this morning, up around 13% on the day.