SDIX stands to earn another $2.5 million in milestone fees.
BD Diagnostics is paying SDIX $1.25 million up front in an agreement that has the two companies working together to develop a microbiology detection solution with faster time to results. The collaboration will combine SDIX’ experience with high-performance antibodies with BD’s expertise in diagnostic systems.
The up-front fee covers license fees and technology access fees for SDIX’ antibody platform and nonexclusive rights to its bacteria phage technology as well as paid-for research during system development. The agreement also calls for $2.5 million in milestone payments plus royalties on product sales incorporating SDIX’ technology. Upon commercialization of this system SDIX and BD will be engaged in a long-term agreement for the supply of antibodies from SDIX to BD.
“This agreement demonstrates our strengths in the design and production of novel, highly specific antibodies and our knowledge and experience in developing antibody-based detection systems,” remarks Francis DiNuzzo, SDIX’ president and CEO. “The combination of SDIX’ antibodies together with the assay and platform capabilities of BD will enable the partnership to deliver a highly valuable system that we expect to advance microbial detection in many very valuable applications.”