Zix Corp Added to Watch List: Secure E-Mail Solution for Corporate Customers

Zix Corporation, formerly known as ZixIt, has gained attention for its secure e-mail software and services aimed at corporate customers. The company's ZixMail system enables users to transmit encrypted e-mail and documents to any address worldwide, with recipients who are not service subscribers able to access messages through the ZixMail.net portal. Notable clients include Aon Corporation, Blue Cross-Blue Shield of Arizona, BASF, DuPont, ConocoPhillips, and Universal Health Services. Following an announcement of a contract for a 500-physician e-prescribing program, shares rose 14%.

Key Takeaways:

  • Zix Corp offers secure e-mail software and services for corporate customers, leveraging the ZixMail system for encrypted transmissions.
  • The company's client roster includes prominent organizations such as Aon Corporation, Blue Cross-Blue Shield of Arizona, and BASF.
  • Zix Corp has secured a contract for a 500-physician e-prescribing program, with a potential for increased transaction fees due to the program's self-perpetuating expansion model.
  • The new contract splits the 500-physician program evenly between ZixCorp and another vendor, with recurring transaction fees generating revenue.
  • Zix Corp's e-prescribing program stands to benefit from participation from multiple payors, potentially increasing the total dollar value of script fees.

Statistics:

  • 500 - Number of physicians participating in the new e-prescribing program.
  • 14% - Increase in shares after announcing the contract for the 500-physician e-prescribing program.
  • $1 - Per-qualified e-script transaction fee, with the majority going to ZixCorp to cover on-going annual prescriber licenses and other costs.
  • Unknown - Total dollar value of script fees, contingent on participation from multiple payors.

Sources:

  • M2 COMMUNICATIONS LTD RDATE: 27122006
  • bellwetherreport.com
  • Hoovers.com
  • Yahoo.com
  • Associated Press
  • Marketwire.com
  • Businesswire.com