Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA) announced that it will partner with privately owned Microchips Biotech Inc. the partnership will give the two firms an opportunity to exploit the applications of microchip-based drug delivery technology for future use in drug administration.
The projects will revolve around the concept of programming microchip implants from the biotech firm to administer drug doses over scheduled intervals. This method of drug administration method will include wireless control features and each microchip implant will last for months or even years before getting exhausted.
According to a statement from Teva’s Chief Scientific Officer, Microchips Biotech is at a point where digital technology and medicines have come together in a new aspect of treatment. This includes new ways of delivering drugs to patients, particularly those who cannot withstand needles. It is also suitable for patients who need consistent self-administered injections or patients whose intake is critical to their response.
Microchips Biotech will receive an initial payment of $35 million from the partnership. The payment will cater for the technology access fee and will also include equity investment. The project’s main point of focus will be on one disease area. The two firms have the option to expand the applications of the programs to other health categories.
A few other firms are riding on the investment opportunity. Some of them include Flybridge Capital Partners, Polaris Venture Partners, Interwest Partners, Medtronic Inc., and Intersouth Partners. The announcement of the microchip project comes just a few weeks after the reveal of a micro pacemaker. Bio-medical technology has been tilting towards micro technology just like the computer industry.
The collaboration between the two companies most likely come up with technology that will bring revolutionary changes in the way medicine is administered. The many companies that have invested in the project are evidence that the project has a lot of potential. Teva Pharmaceutical Industries Ltd (ADR) (NYSE:TEVA) and Microchips Biotech are yet to reveal whether they have other applications for microchip technology.