The agreement, valued at approximately $5.25 million, is for the ongoing use of IBA Health's hospital administration and billing systems at most of Ramsay's 74 hospitals.
Ramsay has agreed to act as a reference site for IBA Health during the four-year term while IBA will in turn ensure that ongoing product development meets Ramsay's current and future needs in the evolving health industry.
The new agreement also gives Ramsay the opportunity to review and implement IBA's web-based administration, billing and clinical software if required.
While the base contract value for ongoing support and maintenance over the minimum 4 year period is approximately $5.25 million, Ramsay has the option to secure further software and services, according to IBA.
Pat Grier, managing director of Ramsay Health Care, said, 'Ramsay is now the largest private acute provider in Australia and it is vital to our operations that we have a quality system that is well supported and kept right up to date. We are pleased to have signed this agreement as it will ensure we have a solution that meets our requirements and provides business continuity and efficiency in key areas."
Steve Garrington, IBA CEO said 'We are absolutely delighted that we have agreed a new long term contract with Ramsay. This contract is entirely in line with IBA's strategy of securing quality recurring revenues. Ramsay is the largest player in the Australian private hospital sector and a leader within the industry. IBA will be working closely with Ramsay to ensure that their information technology gives them the support they need in key areas of their business. We are also very pleased to have Ramsay as a reference client for our business.'