Alternate Health Signs Contract Expected to Significantly Increase Lab Business
SAN ANTONIO, Aug. 8, 2018 /PRNewswire/ -- Alternate Health Corp. ("Alternate Health" or the "Company") (CSE:AHG) (OTCQB:AHGIF), an international leader in software solutions for the medical cannabis industry, announced today that the Company signed a binding contract on August 6, 2018, to provide laboratory services for a large multistate laboratory provider.
Alternate Health expects to begin testing samples in August and is targeting a ramp up to a monthly sample rate of 25,000 – 30,000 by December 2018. August is forecasted to begin with approximately 5,000 to 6,000 samples monthly with an increase of 5,000 to 6,000 additional samples per month. The assumptions on sample volumes, both to start in August and the December projections, were made after carefully reviewing the current needs and future growth projected by the referring entity.
Regional fees per sample run between US$50.00 to US$250.00, with averages falling into the US$130 to US$150 range. Costs and expenses associated with performing the tests certainly vary with volume, with Alternate Health's historical numbers falling between US$35.00 to US$70.00 per sample.
"This is a major step forward for the Company and Alternate Health Labs," says Dr. Michael Murphy, Chairman and CEO of Alternate Health. "This deal represents the culmination of all the hard work and dedication we have put into our laboratory strategy."
In late 2017 through 2018, the Company completed a program of upgrades at Alternate Health Lab's San Antonio facility. As a result, Alternate Health Labs now has the capacity to run blood, toxicology, allergy, pharmacogenetics, respiratory pathogen panels and women's health panels.
"With this agreement, Alternate Health will benefit from the investments we have made in our laboratory business," says Dr. Murphy. "We are excited to build a stable financial foundation to move forward with our mission to be the technology leader in the international cannabis industry."
Company Updates
Dr. Michael Murphy will also provide an update to the last CEO Report in the next week as promised.
For more information about Alternate Health, visit www.alternatehealth.com.
About Alternate Health
Alternate Health Corp. (CSE: AHG, OTCQB: AHGIF) Alternate Health has established multiple arms-length operations within the medical cannabis industry, each of which drives consumers, data and strategic opportunities to the Company's other verticals. This sophisticated cross-integration of the company's enterprises has positioned Alternate Health as one of the only cannabis companies that delivers consistent revenue and intellectual property without growing, manufacturing or distributing the cannabis plant. Through its software solutions, data analytics, and patented delivery systems, Alternate Health's goal is to be the global authority on scientific and clinical support for cannabis in regulated markets. Alternate Health is well positioned to reinvest internal operating cash flow in its platform over the long term, creating an attractive investment profile for its shareholders.
Alternate Health resides in the cannabis sector along with companies like GW Pharmaceuticals, AXIM Biotechnologies Inc., Canopy Growth Corporation, and Aphria Inc. Alternate Health is differentiated from other cannabis companies by its focus on ancillary services for patients, healthcare professionals and regulatory providers rather than selling a commodity.
Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release. Statements included in this announcement, including statements concerning our plans, intentions and expectations, which are not historical in nature are intended to be, and are hereby identified as "forward-looking statements". Forward-looking statements may be identified by words including "anticipates", "believes", "intends", "estimates", "expects" and similar expressions. The Company cautions readers that forward-looking statements, including without limitation those relating to the Company's future operations, business prospects, anticipated lab sample increases and potential revenues, are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements.
For Further Information: Investor Relations Contact: Nancy Goertzen, CPIR, 1.604.512.7122 | n.goertzen@alternatehealth.ca; Jim Griffiths, Director, 1.416.607.5757 | j.griffiths@alternatehealth.ca
Share this article