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Abbott Labs Completes Purchase of SpectRx Stock

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NORCROSS, Ga., Jan. 5 -- Abbott Laboratories has purchased $2.5 million in convertible redeemable preferred stock of SpectRx Inc., bringing Abbott's total purchase of SpectRx stock to $5.25 million. SpectRx reported that the stock purchase was part of an agreement between the two companies to jointly develop a continuous glucose monitor for diabetics. The agreement assigns to Abbott exclusive worldwide marketing rights to continuous monitoring applications and to single-use monitoring applications of the technology. SpectRx will receive a royalty on sales of disposable devices, and will have the option to manufacture continuous monitoring devices for Abbott.
The monitor uses a surface-worn patch containing a glucose sensor -- based on SpectRx's biophotonic technology -- to measure glucose levels in interstitial fluid (ISF). ISF is collected through an array of micropores created with a laser in the stratum corneum, or dead outer layer of skin. According to SpectRx, prototypes of the device have shown it capable of providing one reading per minute.
Opto Diode Corp. - Detector Spotlight 10-24 MR

Published: January 2000
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