InfuSystem Announces Master Service Agreement with Leading Global Healthcare Technology and Diagnostics Company
National Preferred Service Agreement to provide service and repairs to a fleet of over 300,000 pumps in North America; Estimated $10-12 million in annual revenue
InfuSystem Holdings, Inc. (NYSE American: INFU), (“InfuSystem” or the “Company”), a leading national provider of healthcare services, facilitating ambulatory care for durable medical equipment manufacturers and suppliers today announced that it has entered into a three-year Master Services Agreement with a leading global healthcare technology and diagnostics company, effective April 25, 2022.
Under the Master Services Agreement, InfuSystem will provide its biomedical services, which include annual preventative maintenance and repair solutions, to the majority of the infusion pump fleet in hospitals and other contracted medical facilities. with this leading global healthcare company. Service will be performed onsite at the acute care facility or offsite at one of InfuSystem’s seven service centers. This global healthcare diagnostics and technology company’s preferred customer infusion pump fleet includes more than 300,000 pumps located in 1,200 medical facilities, including 800 hospital systems in the United States and Canada. It is estimated that this national preferred service agreement will generate approximately $10-12 million, after an initial ramp-up period, in annual revenue under InfuSystem’s EMR service platform.
Richard DiIorio, President and CEO of InfuSystem, said, “I am extremely pleased that the leading global healthcare company has awarded InfuSystem National Preferred Service Provider status. We will provide our “white glove” biomedical services for their fleet of infusion pumps throughout North America. This master service agreement could potentially lead to additional opportunities to serve this customer to provide other products and services that we offer under our DME Services segment. The extensive expertise and capabilities of our EMR platform, along with our proven industry-leading service track record and nationwide network of service centers, were significant factors in their decision to partner with InfuSystem.
“This acute care services opportunity is a direct result of effectively integrating our biomedical services acquisitions and creating a highly efficient operating unit to serve first-tier customers to drive growth and increase the market share considerably. Our certified biomedical services teams will be deployed across North America to begin onboarding the global healthcare company’s infusion fleet and to perform maintenance and repairs on-site or at one from our national service centers. I believe this preferred national service agreement lays the foundation for long-term growth in our EMR business and even greater expansion into acute care.
“This framework services agreement represents an important step for the Company. This is a testament to our team’s hard work and dedication to providing industry-leading service and repair solutions. We look forward to a long and fruitful relationship for years to come,” concluded Mr. DiIorio.
About InfuSystem Holdings, Inc.
InfuSystem Holdings, Inc. (NYSE American: INFU), is a leading nationwide provider of healthcare services, enabling ambulatory care for durable medical equipment manufacturers and healthcare providers. INFU services are provided in a two-platform model. The core platform is Integrated Therapy Services (“ITS”), providing the last mile solution for clinic-to-home healthcare where continued treatment involves durable and complex medical equipment and services. The ITS segment includes oncology, pain management, wound care and lymphedema businesses. The second platform, Durable Medical Equipment Services (“DME Services”), supports the ITS platform and leverages a strong service orientation to win additional business from its direct paying customers. The DME Services segment includes direct payer rentals, sales of pumps and consumables, and biomedical services and repairs. Headquartered in Rochester Hills, Michigan, the company provides local, on-the-ground customer support and also operates centers of excellence in Michigan, Kansas, California, Massachusetts, Texas and Ontario, Canada.
Certain statements contained in this press release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, such as statements relating to future shares, our share buyback program and our capital allocation strategy, our business plans, our objectives and our outlook, our future operational or financial performance and our forecasts. The words “believe”, “may”, “will”, “estimate”, “continue”, “anticipate”, “intend”, “should”, “plan”, “expect”, ” strategy”, “future”, “likely”, variations of these words and other similar expressions, with respect to the Company, are intended to identify forward-looking statements. Forward-looking statements are subject to factors, risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the uncertain impact of the COVID-19 pandemic, our dependence with respect to estimates of revenue to be collected, potential litigation, changes in third-party reimbursement processes, legislative changes, contributions from acquired businesses or new lines of business, products or services and other risk factors disclosed in the Company’s most recent annual report on Form 10-K and, to the extent applicable, quarterly reports on Form 10-Q. All forward-looking statements made in this press release speak only as of the date hereof. We undertake no obligation to update forward-looking statements to reflect future events or circumstances, except as required by law.
Additional information about InfuSystem Holdings, Inc. is available at www.infusystem.com.