Stem cell specialist Widecells Group PLC (LON:WDC) has inked a letter of intent with a California-based medical device company that could be worth up to £100,000.
Qigenix has agreed to pay the sum in three stages so it can use Widecell’s Institute of Stem Cell Technology (ISCT) in Manchester to undertake some research.
“We established the Institute of Stem Cell Technology in order to create a stem cell processing and storage facility in the UK,” said chief executive João Andrade.
“Whilst we continue to make excellent progress in this regard we are delighted to have identified a second potential revenue stream from this facility.”
An upfront payment of £25,000 is binding under the LOI and will be paid before the year is up, while the remaining £75,000 will be paid in two instalments, with final payment due when the research project is completed, schedule to be in the second quarter of 2018.
The two parties are aiming to sign a definitive, binding agreement before 1 March 2017.
In order for the research to be carried out at the ISCT, Widecells has had to apply to the Human Tissue Authority for a Human Application Licence.
The research project is planned to begin in the first half of 2017, the same timeframe in which Widecells expects its ISCT to become operational.