@Seymourbutts This is good. I've had a quick dig into the announcements around this contract and here's a little summary.

April 2021 - Announced as preferred provider for an upcoming contract with Department of Defence. Leidos not mentioned but announcement states that main contract about to be finalised and announced then ALC contract can be finalised with lead contractor. Potential value of contract $21M over 5 years which is implementation and a subscription to Miya Precision.

December 2021 - Contracts signed and Leidos announced as lead. Initial contract value approx. $23.3M over 6 years. Contract for Implementation and Miya precision. Option to take up Miya Observations and Assessments. Options to renew to take contract to 15 years and around $50M.

May 2022 - Almost same announcement as December but with more detail on project. No change to numbers or options.

December 2022 - Contract extension announced to include Miya Observation and Assessment (O&A). Additional contract value $8.4M over 4.75 years. Total contract value now $31.7M still with 15 year option to renew. Contract includes additional Miya Precision modules and Miya O&A now licensed for use in Strategic Aeromedical Evacuation and Tactical Aeromedical Evacuation. Proof of modular approach.

November 2025 - Contract expansion for additional Miya Precision modules. Additional $12.3M over 2.7 years with $2.5M being ARR. No mention of total contract value. Contract extension aligns with main contract date of June 2028

Here's what Leidos announced about the contract

(CANBERRA, Australia) May 9, 2022 – Leidos Australia has been awarded a contract by the Australian Department of Defence to deliver a health knowledge management system to support healthcare services across the Australian Defence Force (ADF).

The contract value is $299 million (ex GST). Work has started on the project, Joint Project 2060 Phase 4, with initial operating capability planned for November 2023 and final operating capability in 2025.

The health knowledge management system will replace the ADF’s legacy electronic health record product with a modern, patient-centric health solution. The new system will record, store, aggregate and analyse health data and information for the ADF population, unifying multidisciplinary primary and occupational care with emergency and hospital care to enable better clinical decision-making.

For the first time, an electronic health solution will be delivered into the deployed environment to record the delivery of healthcare by ADF clinicians from point of injury throughout the evacuation chain into rehabilitation and recovery. This will ensure all relevant clinical information can be recorded and included in a member’s health record to facilitate appropriate, on-going care.

JP2060 Phase 4 will create approximately 187 full-time-equivalent jobs, predominantly in Canberra, Brisbane, Melbourne and Sydney.

As Prime Systems Integrator, Leidos Australia will lead a multi-disciplinary team of primarily Australian companies experienced in health knowledge management systems and clinical management software. More than 95% of the work will be delivered by Australian industry.

The core team includes:

• Alcidion Group, an Australian provider of intelligent informatics software for high-performance healthcare; 
• Ascention, an Australian provider of solutions for data, analytics and tactical planning;
• Coviu Global, an Australian provider of telehealth technology;
• Fred IT Group, Australia’s largest dedicated IT solution provider to the pharmacy industry;
• MediRecords, an Australian provider of intuitive, easy to use clinical practice management software;
• Nous Group, an Australian specialist in leading and delivering transformational change;
• Philips Electronics Australia, an Australian health technology company and provider of radiology solutions
• Precision Medical, an Australian provider of software that monitors, traces and reports on medical assets; and

Titanium Solutions Australia, a New Zealand provider of oral health management software.

In addition, Leidos Australia will be engaging:

• Cerner, an American supplier of health information technology services, devices and hardware;
• OutSystems, a low code solution platform providing case management and a compensation portal; and
• QlikTech Australia, an Australian supplier of business intelligence solutions.
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Leidos Australia Chief Executive Paul Chase said: “Leidos Australia looks forward to working with Defence and our team of exceptional health sector partners to deliver this critical capability to the ADF.

“Our team’s health expertise, as well as Leidos’ vast Defence experience, will deliver a modern, sovereign solution that will meet the evolving healthcare needs of the ADF,” Mr. Chase added.

Leidos is a global leader in health systems, particularly in implementing and optimising electronic health records, conducting ground-breaking research, and developing and supporting large-scale technology programs. The company works with customers across the continuum of care, from research to patient bedside.

What is interesting to me is that it lists Cerner as a partner. It would be really interesting to know how they are involved and if ALC is integrating seamlessly into a larger Cerner framework as is already happening at East Lancashire, where Miya Flow is integrating into a Cerner EPR. Both Cerner and Leidos have large client networks that would mean big things for ALC if they could gain access to even a small part of them.

I kinda like where this could be going!

Held IRL and SM.

Discl: Held IRL 0.91% and in SM

@Seymourbutts , agreed! ALC has been slowly but surely building on contracts in the past year.

While additional ARR is always welcomed, what I really liked about this is the structuring of the duration to align to the broader Leidos Contract which comes up for renewal in June 2028. The 2.7 years contract is a strange contractual period, but this means that the Leidos contract renewal in June 2028, with this uplift, will be a nice whopper ...

With the current volatility, I am looking to top up around 9c to 9.5c