JCT Xped solutions being co-developed to sell through channel partners
Company Update - JCT Healthcare
Melbourne, Dec 20, 2016 AEST (ABN Newswire) - Xped Limited (
ASX:XPE) ("Xped" or "the Company") is pleased to provide an update on its subsidiary company JCT Healthcare Pty Ltd ("JCT").
Highlights
- JCT expands offering into Aged Care Industry
- JCT Healthcare has signed 5 new channel partner and reseller agreements
- Total Channel Partners minimum sales targets per annum in excess of $1m ($180-250k minimum each)
- A further 8 channel partner agreements are currently in advanced negotiation
- JCT Healthcare now has national sales presence for their existing Healthcare products and services
- JCT Xped solutions being co-developed to sell through these channel partners
- JCT targeting international expansion through channel partners in early 2018
JCT Channel & Reseller Agreements
Xped is pleased to announce that its wholly owned subsidiary JCT will be expanding supply of their innovative healthcare equipment and services into the aged care industry. This will be achieved through a national sales team of quality channel partners. JCT has recently signed 5 new channel partner agreements.
This exciting development means JCT will now have a national sales presence actively marketing and selling JCT products and solutions into the aged care sector.
Under the terms of the agreements, each channel partner must meet minimum annual sales targets of JCT products and services to maintain their status. These minimum sales range from $180k to $250k per partner.
These agreements have been completed with Alerttech Pty Ltd (Victoria), Unified Network Group Pty Ltd (NSW), Nurse Call Systems Pty Ltd (WA), SA Electronics Pty Ltd (SA), and A&J Communications Pty Ltd (NT). The total minimum sales targets for these 5 partners exceeds $1m per annum.
A further 8 agreements are currently in negotiation is expected to increase the total number of partners to 13 with subsequent increase in expected sales and revenue targets. An update will be provided to market once further progress is made on these or material developments occur.
As part of the channel partner expansion, JCT will be providing detailed product training to these partners during February 2017. Immediate market penetration is expected post training, in line with channel partner sales targets and agreements.
The channel partners will be focussed on selling JCT Nurse Call solutions and systems. JCT has developed a range of nurse call products depending on the type of installation. Wireless1000 for retrofitting an existing facility if cabling is not possible. Digi3000 for a standard Nurse Call system. PoE4000 series our real IP nurse call solution that gives clients the ability to integrate Assistive Technologies and clinical interfaces. These solutions are all managed through JCT NuCAMS messaging platform.
JCT currently has approximately $1,000,000 of stock in production across various manufacturing partners to support these expanded sales channels.
JCT and Xped are working together to develop an ADRC technology based disability care platform, and JCT will scale its channel partners to support the sales of this and other new solutions as they come to market in 2017.
Having established a national presence, JCT is commencing to explore channel partner and reseller agreement opportunities internationally, targeting international expansion in early 2018.
JCT Transaction Update
Under the terms of the Sale and Purchase Agreement ("SPA") between the Company and the shareholder of JCT, as announced to market on June 7th 2016 and acquisition completing on July 4th 2016, two conditions were to be met to trigger a secondary cash payment for Xped to acquire 100% of the capital of JCT.
These were:
- new agreements being entered with channel partners and resellers which provide for minimum aggregate purchase commitments of $1,000,000 (within 12 months) ;
- binding manufacturing supply agreement being entered into with key supplier for JCT product line (within 12 months)
With both these terms having now been met the Company will be making this secondary cash payment of $750,000.
Athan Lekkas, Chairman, and CEO of Xped, commented "The Company is excited that JCT has executed these channel partner agreements to increase revenue streams and strong growth from its expanded national presence. We are currently working together to integrate Xped's ADRC and infrastructure platform with JCTs existing offerings to provide an innovative solution for Disability care and the broader healthcare market."
Eddie Jackson, CEO of JCT, commented "It is great to have these new Channel Partners on board to deliver sales in the Aged Care market, and look forward to continuing to expand our product offerings into other segments of the Healthcare industry. Having access to Xped technologies and technical staff is allowing us to develop some great Healthcare products to sell through our carefully selected channel partners in the future"
ABOUT JCT
JCT Healthcare Pty Ltd (JCT) are a quality provider of communication solutions to the Healthcare sector with products that are tailored for Hospitals, Aged Care, Independent Living and Disability Care.
About XPED Ltd
XPED Ltd (ASX:XPE) is an Australian Internet of Things (“IoT”) technology business. Xped has developed revolutionary and patent-protected technology that allows any consumer, regardless of their technical capability, to connect, monitor and control devices and appliances found in our everyday environment. Xped provides technology solutions for Smart Home, Smart Building, and Healthcare.
At Xped, we’re Making Technology Easy Again(TM)
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