TACTILE SYSTEMS TECHNOLOGY,INC. (NASDAQ:TCMD) Files An 8-K Entry into a Material Definitive Agreement

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TACTILE SYSTEMS TECHNOLOGY,INC. (NASDAQ:TCMD) Files An 8-K Entry into a Material Definitive Agreement

TACTILE SYSTEMS TECHNOLOGY,INC. (NASDAQ:TCMD) Files An 8-K Entry into a Material Definitive Agreement
Item 7.01. Entry Into A Material Definitive Agreement.

On October15, 2018, we entered into a license agreement with Sun Scientific,Inc. to which we licensed certain intellectual property of Sun Scientific, including related to its Aero-Wrap product, in the United States and Canada, for use in all medical applications, including but not limited to swelling/edema and ulcers (including lymphedema and chronic venous insufficiency conditions), but excluding the use of the intellectual property in the field of prophylaxis for deep vein thrombosis. The license will continue until the date of expiration of the last to expire or be invalidated of the licensed patents, subject to earlier termination under certain circumstances. to the license agreement, we paid Sun Scientific an initiation fee of $4.0 million upon execution of the agreement. We have also agreed to pay them a royalty in a range of high single digits to low double digits based on the net sales of the products containing the licensed intellectual property and a contingency payment if our net sales exceed $80 million within the first seven years of the term of the agreement. The contingency payment may be made, at our option, in cash or shares of our common stock. This description of the license agreement does not purport to be complete and is qualified in its entirety by reference to the license agreement, which we expect to file as an exhibit to an upcoming periodic report.

Item 7.01. Completion of Acquisition or Disposition of Assets.

The information contained above in Item 7.01 of this Current Report on Form8-K is incorporated by reference into this Item 7.01.

Item 7.01. Regulation FD Disclosure.

A copy of the press release announcing the transaction is attached to this report as Exhibit99.1. In accordance with General Instruction B.2 of Form8-K, the information in this Item 7.01 and Exhibit99.1, shall not be deemed to be “filed” for purposes of Section18 of the Securities Exchange Act of 1934 or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933 or the Securities Exchange Act of 1934, except as shall be expressly set forth by specific reference in that filing.

Item 7.01. Financial Statements and Exhibits.

(d)Exhibits

EXHIBITINDEX

Exhibit No.

Description

99.1

Press release dated October17, 2018


TACTILE SYSTEMS TECHNOLOGY INC Exhibit
EX-99.1 2 a18-36762_1ex99d1.htm EX-99.1 Exhibit 99.1   Tactile Medical Announces License Agreement for Certain Intellectual Property of Sun Scientific,…
To view the full exhibit click here

About TACTILE SYSTEMS TECHNOLOGY,INC. (NASDAQ:TCMD)

Tactile Systems Technology, Inc. is a medical technology company that develops and provides medical devices for the treatment of chronic diseases at home. The Company is a manufacturer and distributor of the Flexitouch and Entre Systems, medical devices that help control symptoms of lymphedema, a chronic and progressive medical condition that is often an unintended consequence of cancer treatment, and the ACTitouch System, a medical device used to treat venous leg ulcers and chronic venous insufficiency. Its products deliver long-term treatment of chronic diseases. The Company provides its products for use in the home and sells them through vascular, wound and lymphedema clinics throughout the United States. The Company offers a platform to deliver at-home healthcare solutions throughout the United States. Its initial area of therapeutic focus is vascular disease, with a focus on advancing the care in treating lymphedema and chronic venous insufficiency.