Pro Medicus Limited (ASX: PME) shares are rising on Monday morning.
At the time of writing, the ASX 200 tech stock is up 1% to $258.00.
This has been driven by the release of another positive announcement.
ASX 200 tech stock rises on contract win
This morning, the leading health imaging company announced its fourth major contract win in just over a month.
As readers may be aware, at the end of November, the ASX 200 tech stock announced a $24 million deal with NYU Langone Health and a massive $330 million deal with Trinity Health. It then followed this up with the signing of a $30 million deal with Duly Health and Care last week.
Today the company has announced another win. And while it is the smallest of the four, it is with an existing client and is a transaction-based model with potential upside.
According to the release, the ASX 200 tech stock has signed an additional $15 million, five-year contract with Duke University Health System. It is a leading North American academic medical centre.
The release notes that the contract, which is based on a transaction-based licensing model, will see the Visage 7 Open Archive supplement the existing Visage 7 Viewer contract signed with Duke University Health System in May 2019.
What is Visage 7 Open Archive?
Visage 7 Open Archive is a native, optional module of Visage 7. The company notes that it is designed for optimal interoperability, excelling in modular, multi-system, multi-vendor environments by enabling efficient workflows, integration, and consolidation of disparate systems.
As part of the deal, Duke's current on-premise instance of Visage will be deployed to the cloud along with Visage 7 Open archive. The Visage 7 Viewer contract has been extended for a further two years to the end of 2029, as part of the deal.
Pro Medicus advised that planning for the rollout is to commence immediately and will involve the migration of Duke University Health System's current archive to the Visage 7 Open Archive.
The ASX 200 tech stock's CEO, Dr Sam Hupert, was pleased with the deal and believes it is another positive sign for the future. He said:
This deal that confirms our belief that there is a material opportunity for us to sell Visage 7 Open Archive to our existing base of "viewer only" clients. Not only does this provide clients with a highly performant, highly scalable solution, it is a key step in facilitating their transition from on-premise to cloud, a trend we see continuing.
