Fred IT Group Pty Ltd and Ors

Fred IT Group Pty Ltd and its related entities (including eRx Script Exchange Pty Ltd (eRx)) (collectively, Fred IT Group) seek authorisation to make arrangements with MediSecure Ltd (MediSecure), to facilitate a transition from multiple parties providing services in respect of publicly funded electronic prescriptions to Fred IT Group being the sole provider. Following this transition, Fred IT Group will be the sole provider of Prescription Delivery Services for electronic prescriptions which are publicly funded, pursuant to an agreement between Fred IT Group and the Department of Health. Fred IT Group seeks  interim authorisation as soon as possible to commence the transition process, pending the outcome of the ACCC’s final determination on the authorisation application.

The authorisation sought would allow Fred IT Group to negotiate the following matters with MediSecure:

• the date or dates by which certain prescriptions and data will pass from the MediSecure Prescription Delivery Service to the eRx Prescription Delivery Service
• how vendors will transition from MediSecure to eRx (including whether and if so how historical data relating to such providers will be transferred)
• when and how the MediSecure Prescription Delivery Service will cease to be used in respect of publicly-funded scripts, such that new prescriptions are no longer created, stored or accessed via this system
• subject to “reasonable commercial efforts”, MediSecure’s ongoing operation of its Prescription Delivery Service for the duration of the transition period (and possibly longer) to ensure the integrity of all data stored on its system is maintained
• the management of milestone payments (which will require defining each relevant milestone, the date by which it should be completed, and the amount to be distributed upon its completion).

Authorisation is sought for 3 years.

The ACCC invites the views of interested parties on this application and request for interim authorisation. If you intend to provide a submission on the application, please do so by 16 June 2023.  Submissions on the interim authorisation are requested by 26 May 2023. If you wish to make a submission in relation to this matter, please lodge it via this web form.

An indicative timetable for the ACCC’s assessment is set out below.