DIAGNOS (CVE:ADK) will sell its mining division to Majescor Resources (CVE:MJX) a mining exploration company with gold and diamond properties in Quebec. DIAGNOS is moving away from its technology in order to focus entirely on healthcare.
The company also intends to commercialize their computer-assisted retinal analysis (CARA) technology worldwide.
CARA is an artificial intelligence tool, which adapts to existing hardware and software, set to take a picture of the eye of a patient. This is done to detect retinopathy, which can lead to vision loss. The algorithms of the tech enhance retinal images and can detect lesions in the eye.
Once the images are processed and analyzed reports can be saved and shared, the produced images can also be displayed in the Electronic Medical Record of the patient.
Strategic Restructuring for DIAGNOS
The technology received an FDA registration in 2011, as well as a CE European Union mark in 2012.
In a statement, DIAGNOS president Andre Larente said the move was part of a strategic restructuring announced in 2015. Back then DIAGNOS said in a statement the natural source market was declining “due to the overall contraction in the sector.”
Ultimately DIAGNOS will acquire 8,000,000 common shares at a price of $0.10 per share.
“Majescor will remit to DIAGNOS 50% of any payment that Majescor receives from the royalty agreements forming part of the acquired assets and 5% of revenues generated by the commercialization of the CARDS System.”
Majescor obtains Artificial Intelligence Mining Technology
The deal includes the transfer of the Computer Aided Resources Detection System (CARDS), an artificial intelligence computer system that can analyze large sums of geological, geochemical, geophysical, and structural data.
President and CEO of Majescor Resources André Audet called the acquisition for his company a game changer. CARDS has the ability to “make predictions on any geological deposit type” in the data sets it examines.
“It puts us in the forefront in becoming the leader in using artificial intelligence and machine learning for mineral exploration,” he said in a statement.
DIAGNOS announced it had extended its contract with the government of Mexico for the use of CARA’s technology in an effort to treat patients with diabetes. In a statement, the company said once the extension is complete on March 31, it will have screened close to 106,300 patients. They hope to announce a two-year deal for national coverage in the country.
As of market close on March 15, DIAGNOS’ share price was at $0.165. Over a one-year period, the company’s share price has gained 255.56 percent. Majescor, on the other hand, finished the day at $0.100, and year-to-date, their share price has gained 33.33 percent.
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Securities Disclosure: I, Bryan Mc Govern, hold no direct investment interest in any company mentioned in this article.