The sale will complete company’s restructuring, resulting in reduction in annual cash burn of over $1.2m.
PositiveID will now use any future proceeds from the sale in developing diabetes management and rapid biological detection.
PositiveID will divest the VeriChip business, including an implantable radio frequency identification microchip for patient identification, and the Health Link personal health record.
PositiveID chairman and CEO William Caragol said they expect to introduce their FDA-cleared iglucose system in early 2012 and continue to position their MicroFluidic Systems subsidiary and M-BAND early bio-threat warning system for potential contract awards from the federal government, including the opportunity to participate in the $3 billion BioWatch procurement.
PositiveID’s diabetes management products under development include Easy Check, a non-invasive breath glucose detection device; the iglucose glucometer, a blood glucose meter with the company’s FDA-cleared iglucose technology built inside the device and GlucoChip.
