GPOs: Nihon Kohden inks deal with Novation

Nihon Kohden (TYO:6849) said Tuesday they signed a 3-year group purchase order agreement with healthcare service company Novation.

The deal positions Japan-based Nihon Kohden to provide Novation with sleep assessment and neurodiagnostic services and equipment. The contract became effective July 1st, according to the companies.

“We are honored to be a partner with Novation, as our 2 organizations share a commitment to leading healthcare innovation that increases quality across the continuum. The organization’s deep customer base will enable us to further our goal of providing integrated solutions that work across care areas. We look forward to working together to help improve and streamline healthcare delivery in this country,” Nihon Kohden CEO Wilson Constantine said in a press release

Irving, Texas-based Novation is a group purchasing organization that serves more than 100,000 members and affiliates in the U.S., Lombard said, including VHA Inc., UHC, Children’s Hospital Assn. and Provista LLC.

“We conducted a rigorous procurement process for this contract, and Nihon Kohden provided competitive clinical and financial value for the members and affiliates we serve. Nihon Kohden has committed to identifying cutting-edge solutions that have been effective in one area of healthcare and leveraging them to improve care in another area. This is an organization that shares our mission of improving healthcare quality,” Novation veep of contracts and program services Mike Clemens said in a prepared statement.

In June, Novation signed a group purchase deal with Lombard Medical Technologies (NSDQ:EVAR), agreeing to provide a 3-year supply of its Aorfix endovascular stent graft.

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