DELRAY BEACH, Fla., March 12, 2013 (GLOBE NEWSWIRE) -- PositiveID Corporation ("PositiveID" or the "Company") (OTCQB:PSID), a developer of biological detection and diagnostics solutions, today issued an update on the progress of its strategic plan to refocus the Company on its patented and patent pending technologies to serve the estimated $3.1 Billion BioWatch Generation 3 program, which is designed to protect the American public from a biological attack. This update is intended to present stockholders with a review of major accomplishments for 2012 and an outlook for 2013.
William J. Caragol, Chairman and CEO of PositiveID, stated, "Following our May 2011 acquisition of MicroFluidic Systems, we began to streamline our focus on our patented molecular diagnostic technologies for bio-threat detection and rapid medical testing. In 2012, we made significant progress executing this plan and simultaneously reducing our cash burn. We achieved major milestones by signing agreements with leading strategic partners and divesting non-core technologies. As we await the final request for proposal ("RFP") for Stage 1 of BioWatch Generation 3, we believe we are effectively positioned to commercialize our technologies for homeland defense and deliver stockholder value."
2012 and Recent Highlights
- Signed Strategic Agreements
-- PositiveID entered into a license agreement and a teaming agreement, including a license fee to PositiveID of $2.5 million, with a large strategic partner providing them the right to sell PositiveID's M-BAND (Microfluidics-based Bioagent Networked Detector) airborne bio-threat detector for the U.S. Department of Homeland Security's ("DHS") BioWatch Generation 3 opportunity, as well as other opportunities in the North American market. PositiveID has received $1.75 million of the licensee fee, and expects to receive the final $750,000 on April 15, 2013. PositiveID retained exclusive rights to serve as the reagent and assay supplier of M-BAND systems to its partner in the U.S. market, and also retained the right to sell M-BAND units, reagents and assays in international markets.
-- PositiveID signed a teaming agreement with a large government contractor to pursue the Defense Threat Reduction Agency ("DTRA") Indefinite Delivery/Indefinite Quantity Multiple Award Contracts supporting the Weapons of Mass Destruction - Defeat Technology, Arms Control, and Nuclear Technology Electromagnetic Research and Development/Survivability and Infrastructure programs. PositiveID will offer both its Dragonfly™ Rapid MDx Cartridge-based diagnostic system ("Dragonfly") and its M-BAND system as part of the teaming agreement.
- DHS Releases First Draft RFP for BioWatch Generation 3
-- DHS released a draft request for proposal ("RFP") for Stage 1 of BioWatch Generation 3, an autonomous biodetection system designed to protect the nation against biological threats. The final RFP for Stage 1 of BioWatch Generation 3 is expected to be released in the government's third quarter of fiscal 2013, which ends June 30th. The Stage 1 contract is expected to have a performance period of 18 months, and the full roll-out of BioWatch Generation 3 (Stage 2) is estimated at $3.1 billion over the next five years.
- New Patent Award
-- PositiveID was awarded U.S. Patent 8,133,451 for the Company's first-of-its-kind Dragonfly detection system for molecular biological diagnostics.
- Non-Core Technologies Successfully Divested
-- The Company entered into an agreement to license its iglucose™ technology to Smart Glucose Meter Corp. ("SGMC") for up to $2 million based on potential future revenues of glucose test strips sold by SGMC. These revenues will range between $0.0025 and $0.005 per strip. A person with diabetes who tests three times per day will use over 1,000 strips per year.
-- PositiveID sold its implantable radio frequency identification microchip, personal health record and other related assets to VeriTeQ Acquisition Corporation.
- BioWatch Generation 3 Stage 1 Funding
-- PositiveID expects to submit a proposal with its strategic partner to participate in Stage 1 of BioWatch Generation 3, which is forecast to begin in late 2013.
- Development of Dragonfly Rapid Diagnostics Technology
-- PositiveID plans to continue the development of its Dragonfly Rapid MDx Cartridge-based diagnostic system for rapid point-of-care diagnostics, subject to available funding.
- Additional Strategic Partnerships
-- PositiveID is in discussions with additional potential strategic partners to support the deployment of its technologies and access new market opportunities.
About PositiveID's M-BAND Biological Threat Detection Technology
PositiveID's M-BAND, developed under contract for DHS Science and Technology Division, is a bioaerosol monitor with fully integrated systems with sample collection, processing and detection modules that continuously analyze air samples for the detection of bacteria, viruses, and toxins. Results from individual M-BAND instruments are reported via a secure wireless network in real time to give an accurate and up to date status for fielded instruments in the aggregate.
About PositiveID's Dragonfly Rapid Diagnostics Technology
PositiveID's Dragonfly system is designed to deliver molecular diagnostic results from a sample in less than 30 minutes, which would enable accurate diagnostics leading to potential treatment scenarios at the point of care that are not possible with existing systems. Dragonfly is being developed further for a broad range of biological detection situations including radiation-induced cell damage within the human body, strains of influenza and other common pathogens and diseases such as E. coli, methicillin-resistant staphylococcus aureus and human papilloma virus.
About PositiveID Corporation
PositiveID Corporation is an emerging growth company and developer of biological detection systems for America's homeland defense industry as well as rapid medical testing. PositiveID is focused on the development of microfluidic systems for the automated preparation of and performance of biological assays in order to detect biological threats at high-value locations, as well as analyze samples in a medical environment. For more information on PositiveID, please visit http://www.PositiveIDCorp.com.
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Statements about PositiveID's future expectations, including, without limitation, the likelihood that the Company is effectively positioned to commercialize its technologies for homeland defense and deliver stockholder value; the likelihood that the Company will receive the final $750,000 of the license fee on April 15, 2013; the likelihood that the final RFP for Stage 1 of BioWatch Generation 3 is expected to be released in the government's third quarter of fiscal 2013, which ends June 30th; the likelihood that the Stage 1 contract is expected to have a performance period of 18 months and the full roll-out of BioWatch Generation 3 (Stage 2) is estimated at $3.1 billion over the next five years; the likelihood that the Company will receive up to $2 million based on potential future revenues of glucose test strips sold by SGMC; the likelihood that SGMC will sell sufficient glucose test strips to pay up to $2.0 million to PositiveID; the likelihood that PositiveID expects to submit a proposal with its strategic partner to participate in Stage 1 of BioWatch Generation 3, which is forecast to begin in late 2013; the likelihood that the Company plans to continue the development of its Dragonfly Rapid MDx Cartridge-based diagnostic system for rapid point-of-care diagnostics subject to available funding; the likelihood that PositiveID's discussions with additional potential strategic partners will result in the deployment of the Company's technologies and new market opportunities; and all statements in this press release constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Litigation Reform Act of 1995. Such forward-looking statements involve risks and uncertainties and are subject to change at any time, and PositiveID's actual results could differ materially from expected results. These risks and uncertainties include, without limitation, PositiveID's ability to participate in BioWatch Gen-3; SGMC's ability to commercialize iglucose; the Company's ability to target the bio-threat detection and rapid medical testing sectors; as well as other risks. Additional information about these and other factors that could affect the Company's business is set forth in the Company's various filings with the Securities and Exchange Commission, including those set forth in the Company's 10-K filed on March 28, 2012, as amended on May 4, 2012, and 10-Qs filed on November 16, 2012, August 20, 2012, as amended on September 12, 2012, and May 14, 2012, under the caption "Risk Factors." The Company undertakes no obligation to update or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this statement or to reflect the occurrence of unanticipated events, except as required by law.
CONTACT: PositiveID Corporation Allison Tomek 561-805-8000 firstname.lastname@example.org