Business
New NHS Contract signed
New NHS Contract signed.
About this update from Tribal Group Plc
[{"type":"text","content":"\n Tribal Group PLC\n21 December 2006\n\n\n21 December 2006\n\n\nTribal Group plc ('Tribal')\n\n\nAnnouncement of financial close on NHS West Midlands diagnostic contract\n\n\nFollowing the announcement in July 2006 of its selection as preferred bidder,\nTribal is pleased to announce that its healthcare delivery business, Mercury\nHealth, has today reached financial close on a five year contract to deliver a\nrange of diagnostic services to NHS patients in the West Midlands. The contract\nis one of seven regional contracts to be awarded as part of the Phase 2\nIndependent Sector Treatment Centre programme.\n\nUnder the contract, Mercury Health will deliver a range of diagnostic services\ncovering imaging (principally MRI, ultrasound and CT), endoscopy and audiology.\nThese services will be provided using mobile diagnostic centres that will\noperate from approximately fifty sites across the West Midlands. The sites\ninclude the car park areas of sports grounds, football clubs and supermarkets\nand Mercury Health will therefore be able to offer the 5.5 million residents of\nthe West Midlands an easily accessible and local service.\n\nServices are due to start from April 2007 and Mercury Health expects to be fully\noperational by the end of May 2007. Mercury Health will be providing up to\n190,000 procedures annually. Key supply partners include GE, Siemens, BT and\nEuromedic, a leading European diagnostic company that will be providing\nreporting services to support Mercury Health's imaging activities.\n\nThe funding requirements to implement and operate the contract total £26.4\nmillion. £16.0 million is required for medical equipment and mobile trailers and\nwill be satisfied through lease arrangements with GE Finance and Bank of\nScotland Corporate Asset Finance. The balance of £10.4 million is required for\nimplementation and working capital purposes and will be satisfied by Tribal from\nits cash resources and existing bank facilities. In addition, Tribal and Mercury\nHealth have provided certain guarantee and security arrangements in connection\nwith the contract.\n\nHenry Pitman, Tribal's Chief Executive, commented: 'We are delighted to have\nreached financial close on this contract. It is an important step in the further\ndevelopment of Mercury Health as a leading independent sector provider of\nclinical services to the ...