Sign up Australia
Proactive Investors - Run By Investors For Investors

G Medical Innovations shares ride higher after signing US$405M deal

The company's mobile case transforms a smartphone into a medical monitoring device.
Prizma Medical Smartphone Case
Medical data can be stored in the cloud

G Medical Innovations Holdings Ltd (ASX:GMV) has executed a binding memorandum of understanding for the distribution of its Prizma Medical Smartphone Case in India and Taiwan.

The company’s shares were last trading circa 33% higher intra-day, at $0.52.

The Israeli mobile health outfit’s key product, Prizma, is a consumer device that transforms any smartphone into a medical monitoring device.

Prizma allows users to store their medical data in the cloud and share it with third parties including professionals and family.

G Medical has signed a distribution agreement with First Channel Ltd, valued at $US405 million for 3 years on minimum commitments, broken down as:

- Year 1 – US$90 million;
- year 2 – US$135 million; and
- year 3 – US$180 million.

FCL is in late stage discussions with their Tier 1 partners, including Vodafone India, Reliance Communications and BSNL Mobile.

It is anticipated that these third-party agreements will be finalised shortly, hence providing additional support for the distribution and financial commitments outlined in the agreement.

However, the tier 1 partners of FCL have not yet formalised a definitive arrangement with FCL, and thus FCL has not yet established its ‘Letter of Credit’ from a first class bank.

On this basis, it cannot be categorically stated that the full anticipated revenues under the agreement with FCL can be achieved, until such time a definitive arrangement has been formalised.

G Medical started trading on the ASX in May 2017, following a $12 million initial public offer.

View full GMV profile View Profile

G Medical Innovations Holdings Ltd Timeline

Related Articles

Data servers
July 31 2018
The company is expected to list on the main board of the LSE in September
An energy plant
August 13 2018
The exclusive contract will run its course for two years and includes a one -year extension option
ROBO Global US CEO Travis Briggs
August 15 2018
Investors can buy directly into the popular ROBO ETF based on the benchmark index comprised of 87 top robotics, automation and AI companies.

No investment advice

The information on this Site is of a general nature only. It does not take your specific needs or circumstances into consideration, so you should look at your own financial position, objectives and requirements and seek financial advice before making any financial decisions. You acknowledge and understand that neither the Company, its related bodies corporate, the information providers or their affiliates will advise you personally about the nature, potential value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter. You should read our FSG and any other relevant disclosure documents and if necessary seek persona advice prior to making any investment decision.

You understand and agree that no Content (as defined below) published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person.

You understand that in certain circumstances the Company, its related bodies corporate, the information providers or their affiliates may have received, or be entitled to receive, financial or other consideration in connection with promoting, and providing information about, certain entities on the Site and in communications otherwise provided to you.

You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate. From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Before you act on any general advice we provide, please consider whether it is appropriate for your personal circumstances.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use