Guided Therapeutics, Inc., announced that it received a $250,000 milestone payment from Freedom Meditech, Inc., a San Diego, California, based ophthalmic medical device company.
According to a release, the payment was received as part of an agreement under which Guided Therapeutics licensed certain of its non-core intellectual property to Freedom Meditech for technology development related to scanning optical properties of the lens of the eye.
Freedom Meditech's ClearPath DS-120, cleared by the FDA this year, is a non-invasive tool designed to measure autofluorescence in the crystalline lens of the eye. Peer-reviewed studies have suggested that elevated lens autofluorescence may be an early indicator of diabetes. With 50 percent of the world's diabetes population currently undiagnosed, and 100 million people in the United States with diabetes or pre-diabetes, there is an estimated $4 billion market opportunity for the product.
"We are very pleased that Freedom Meditech has recognized the potential of our biophotonic technology for scanning the eye," said Guided Therapeutics CEO and President Mark L. Faupel, Ph.D. "By licensing our non-core technology, we are able to generate income to apply to the launch of our centerpiece LuViva Advanced Cervical Scan."
Under the agreement, Guided Therapeutics is paid on milestones, minimum royalties and royalties on sales of Freedom Meditech's products that use Guided Therapeutics' intellectual property, up to a cap of $4 million. To date, payments received by Guided Therapeutics under the license agreement total $300,000.
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