LBT Innovations Limited (ASX:LBT) has drawn down another instalment of a $4 million loan facility provided by the South Australian Government to the company, which is a leader in medical technology automation using artificial intelligence.
These $1.5 million second instalment funds will be applied to the company's core capability areas of artificial intelligence, science and software engineering.
The $4 million facility executed on August 28, 2018, provides the company with the ability to drawdown three instalments of $1 million, $1.5 million and $1.5 million, subject to achieving operational milestones.
LBT chief financial officer Ray Ridge said: “The continued support of the South Australian Government is greatly appreciated and supports our insourcing of core capabilities that have enabled us to accelerate development for the APAS® Independence.
“We will continue to prudently manage our cashflow requirements to support our ongoing commercial activities.”
The low interest rate for the facility is a 2% margin above the South Australian Government cost of funds.
The South Australian Government has received a first ranking general security over the company and its assets.
LBT drew down the first $1 million on May 9, 2019, and the second drawdown was made after satisfying operational milestones, including the requisite number of South Australian based employees.
The funding will support the insourced core capabilities of artificial intelligence, science and software engineering.
LBT's Automated Plate Assessment System (APAS) is being commercialised through its 50%-owned joint venture company Clever Culture Systems AG (CCS) with Hettich Holding Beteiligungs- und Verwaltungs-GmbH.
The APAS instrument is based upon LBT’s intelligent imaging and machine learning software and remains the only US FDA-cleared artificial intelligence technology for automated imaging, analysis and interpretation of culture plates following incubation.