Under the terms of the agreements, Orthofix will fund a milestone based program to develop a bone growth matrix that will be designed to provide beneficial properties comparable to an autograft in spinal and orthopedic surgeries.
After the successful completion of the development process, Orthofix and Musculoskeletal Transplant Foundation (MTF) will work together in accordance with a separate commercialization agreement.
Pursuant to the terms of the agreement, MTF will focus on the procurement of donor tissue, the processing of the bone growth matrix and the fulfillment of orders received. Orthofix has exclusive global marketing rights for the new allograft, and will receive a marketing fee from MTF. The company currently plans for the new matrix to be launched in the US during the second half of 2009.
Bruce Stroever, CEO of MTF, said: “We are pleased to be working with Orthofix to develop a stem cell based tissue form. This is a new area for MTF that helps us fulfill our mission to supply life changing grafts for transplant that are derived from the gift of human tissue.”