Sonic Healthcare wins London hospital contacts

Company News

by Kathy Skantzos

Sonic Healthcare’s (ASX:SHL) UK joint venture Health Services Laboratories has won an exclusive contract to provide a pathology clinical laboratory for two of London’s hospitals.

The services will be provided to Barnet and Chase Farm hospitals, both part of the Royal Free London NHS Foundation Trust.

The new contract has a term of 12 years and is expected to contribute in excess of £12 million in revenue per annum.

The onsite laboratory at Barnet Hospital will be completely remodelled, receiving new equipment and platforms to support the hospitals’ services.

Health Services Laboratory is 51 per cent owned by Sonic’s UK subsidiary The Doctors Laboratory, with the remaining ownership by NHS foundation trusts UCL Hospital and Royal Free London.

Shares in Sonic Healthcare’s (ASX:SHL) are trading 0.24 per cent lower to $21.07.