Diagnostics Services Agreement
RNS Number : 0379S
Rutherford Health PLC
03 July 2020
 

July 3 2020                       

RUTHERFORD HEALTH PLC

£19.1 MILLION DIAGNOSTICS SERVICES AGREEMENT

 WITH SOMERSET NHS FOUNDATION TRUST

Rutherford Health plc (the "Company" or "Group" or "Rutherford") is delighted to announce that it has entered into an agreement with Somerset NHS Foundation Trust (the "Trust") to provide diagnostics services (the "Service Agreement").

Under the terms of the Service Agreement, Rutherford, via its wholly owned subsidiary, Rutherford Diagnostics Limited ("Rutherford Diagnostics"), will provide the Trust with a variety of diagnostics services including Magnetic Resonance Imaging, Computed Tomography, Ultrasound, X-Ray and other relevant diagnostic services.

These diagnostics services will be provided from a dedicated facility in Taunton, which Rutherford will provide in partnership with Equitix under the terms of a £55m Development Framework Agreement, announced on June 23, 2020.  This dedicated facility is expected to become operational in the second half of 2021.

The Service Agreement is for a 5-year minimum term, which is extendable to 10 years, subject to the achievement of certain service levels. The Service Agreement is expected to commence in the second half of 2021 and (together with associated facilities management services) carries minimum revenue of approximately £1.9m per annum.

In addition, to providing services to NHS patients, the centre will be available to private medical insurance and self-pay patients in the South West.

Craven Street Capital Limited acted as financial adviser to Rutherford Health PLC and Rutherford Diagnostics Limited.

Mike Moran, Rutherford's CEO commented: "We are delighted to have signed this agreement with Taunton and Somerset NHS Foundation Trust. Rutherford has been working with NHS Trusts and NHS Shared Business Services to provide cancer services. This agreement further deepens our relationship with the NHS, which we are delighted to support. This partnership will enable us to provide services to both NHS and private patients in a cost-effective manner and is expected to create significant long-term value for the shareholders of Rutherford Health."

Steve Powell, Chief Diagnostics Officer of Rutherford Diagnostics commented: "This innovative long-term partnership with Somerset NHS Foundation Trust will enable their patients to access the most modern diagnostics equipment in a dedicated facility. We hope to develop further similar centres in partnership with other NHS Trusts in the coming months."

The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

The directors of Rutherford Health plc accept responsibility for this announcement.

Contacts

Rutherford Health plc



Michael Moran, Chief Executive Officer

Tel: +44 (0) 16 3381 0661





Grant Thornton (Corporate Adviser)

Tel: +44 (0) 20 7383 5100


Colin Aaronson / Niall McDonald






Media House International   

07788 414 856 or 0207 710 0020


Ramsay Smith

ramsay@mediahouse.co.uk





 

About Rutherford Health plc

Rutherford Health plc is at the vanguard of advancing cancer care. Developing and building a network of oncology centres across the UK known as the Rutherford Cancer Centres, offering a comprehensive range of cancer treatments to patients.

The first centre in Newport, South Wales, was the first in the UK to offer high energy proton therapy. In addition, each centre also offers radiotherapy, chemotherapy, immunotherapy, diagnostic imaging and supportive care services.

As well as the Rutherford Cancer Centre South Wales, Rutherford Health plc (formerly known as Proton Partners International Limited) has opened two further centres - the Rutherford Cancer Centre North East in Northumberland and the Rutherford Cancer Centre Thames Valley in Reading, with proton therapy now available in both. Construction of a fourth site in Liverpool, the Rutherford Cancer Centre North West, is due to open summer 2020.

Rutherford Health plc has partnered with world-leading healthcare technology providers to equip each centre with the very latest and innovative technology, including IBA, Philips and Elekta.

Rutherford Health plc was founded in 2015 by Mike Moran MBE and UK and international cancer experts, including Professor Edward Karol Sikora, former head of the World Health Organisation's cancer programme.

 

About Rutherford Diagnostics

Rutherford Diagnostics Ltd, was established as a subsidiary of Rutherford Health plc to develop a network of advanced diagnostic centres across the UK to meet increasing demand for faster diagnosis. In addition, to providing services to NHS patients, Rutherford Diagnostics' Centres and services will be available to private medical insurance and self-paying patients.

 

Somerset NHS Foundation Trust

Somerset NHS Foundation Trust is a NHS foundation trust providing services  in Somerset, England. It provides mental, community and acute care  services across the county. It was formed in 2020 following the merger of Somerset Partnership NHS Foundation Trust and Taunton and Somerset NHS Foundation Trust. More information is on www.somersetft.nhs.uk

 

 

 


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