March 24, 2011
Gov. Steve Beshear today joined state and local officials to announce that 14 Kentucky
high-tech companies will share more than $4.22 million in state funds as part of
a Kentucky initiative to attract and support technology-based small businesses.
Through the state’s competitive SBIR-STTR Matching Funds program, Kentucky matches
federal SBIR-STTR awards received by Kentucky companies and those willing to relocate
to Kentucky. The eighth and ninth rounds of the state awards supplement more than
$8.7 million in federal funding the recipient firms have brought to Kentucky.
“Kentucky’s unique matching awards program is the envy of the nation
as it helps support our high-tech firms and create hundreds of new high-tech jobs
across the Commonwealth,” said Gov. Beshear. “The Kentucky companies receiving our
matching state funds have already had their research reviewed by federal experts
and were found to have very promising technologies with excellent opportunities
The state matching funds were awarded after the high-tech firms received grants
in Phase 1 or Phase 2 of the federal Small Business Innovation Research (SBIR) and
Small Business Technology Transfer (STTR) programs. Kentucky is the first and only
state to provide funding to specifically match both phases of the federal program:
up to $150,000 to match Phase 1 federal awards and up to $500,000 per year to match
Phase 2 federal awards.
To date, the state’s SBIR-STTR Matching Funds program has made a total of 106 awards
to 57 Kentucky high-tech companies. The combined $24.7 million in state investments
have leveraged more than $42 million in federal funds and have helped bring 12 high-tech,
start-up businesses to the Commonwealth.
The most recent Kentucky companies receiving matching funds specialize in areas
as diverse as human health and development, energy, nanotechnology, bioscience,
materials science and advanced manufacturing.
CustomKYnetics Inc., of Versailles, received matching funds of
$147,783 to support developing an electrical stimulation device for use by individuals
undergoing orthopedic rehabilitation and those with neuromotor disorders due to
spinal cord injury or stroke. The device is designed in the form of a recumbent
stepper that involves the lower extremities through electrical stimulation, while
upper extremity involvement is controlled by the patient. www.customkynetics.com
MC3 Inc., of Ann Arbor, Mich., will establish operations in Kentucky
under the name Exatherm to receive matching funds of $500,000. The funding will
be used by Exatherm to support developing a medical device that can apply heat to
localized areas on patients to treat lung, colon, pancreatic and other forms of
cancer. The process has been shown to selectively kill cancer cells, as well as
enhance the effects of certain chemotherapy drugs without damaging normal tissues.
InfoBeyond Technology LLC, of Louisville, received matching funds of $99,000 to
support developing a means of increasing the network capacity of airborne fighter
systems by 10 percent by incorporating mathematical algorithms into the software
used in airborne networks, without the need for hardware updates.
NuForm Materials LLC., of Sadieville, received matching funds of
$149,996 to support developing polyurethane foam insulating materials containing
ceramics derived from coal ash. The company uses its patented process to recycle
coal ash into high-purity ceramic materials that can reduce the need for expensive
polymers in composite materials, while also improving the foam’s performance in
automotive and aerospace applications.
Paratechs Corp., of Lexington, received matching funds of $111,002 to support developing
a device to facilitate the non-surgical assisted-reproductive procedure for laboratory
animals. The device would save significant time and money and position the procedure
to become the standard throughout the research industry.
SureGene LLC., of Louisville, received matching funds of $365,579 to support developing
a multi-gene genetic test, called the AssureGene Array, to predict how effective
treatments will be in specific patients being treated for neuropsychiatric illnesses,
such as schizophrenia. www.suregene.net
Transposagen Biopharmaceuticals Inc., of Lexington, received matching
funds of $499,936 to support developing a method of completely removing the genome
of laboratory rats to facilitate use by researchers to mimic human diseases in the
Advanced Energy Materials LLC, of Louisville, received matching
funds of $150,000 to support developing nanomaterials for use in the anodes of automotive
batteries and large-scale lithium ion batteries, as well as in solar cells and other
Alcomed Inc., of Lexington, received matching funds of $150,000
to support developing a nasally delivered pharmaceutical (naloxone hydrochloride)
for the emergency treatment by medical personnel of patients experiencing an opioid
overdose. The treatment would reduce the time needed to administer the drug, currently
given through an injection, as well as reduce the risk to first responders of contracting
hepatitis or HIV.
Bexion Pharmaceuticals LLC, of Covington, received matching funds
of $500,000 to support developing a new treatment to target and eliminate glioblastoma
multiforme, the most common and most aggressive type of primary brain tumor in humans,
for which there is currently no effective treatment. The company is working on a
clinically usable formulation for use in human trials. www.bexionpharma.com
Alkymos Inc., of Lexington, received matching funds of $500,000
to support developing a method of preventing aluminum contamination in the intravenous
fluid used to feed infants born prematurely. Aluminum is a common contaminant in
Total Parental Nutrition (TPN) solution and excessive exposure can produce toxicity
in the brain and skeletal system.
Global Quality Corp., of Cincinnati, is relocating to northern
Kentucky to receive matching funds of $364,990 to support developing a software-based
warning system to alert personnel when there is contamination in drinking water.
The system will be installed and tested at Ft. Drum in upper New York State.
Louisville Biosciences Inc., of Louisville, received matching funds
of $249,913 to support developing a diagnostic test to help detect up to six autoimmune
diseases, including lupis, rheumatoid arthritis, multiple sclerosis (MS), scleroderma,
polymyositis and Lyme disease. www.lbidx.com
Scout Diagnostics LLC, of Lexington, received matching funds of
$435,600 to support developing a laboratory test to detect and confirm Alzheimer’s
disease in its earliest form, which is usually termed Mild Cognitive Impairment.
The Cabinet for Economic Development, through its Department of Commercialization
and Innovation (DCI), manages the Kentucky SBIR-STTR Matching Funds program, which
is administered under contract to DCI by the Kentucky Science and Technology Corporation
Applications for each round of the program are accepted by KSTC on a regular basis.
A link to the online guidelines and application form for the Kentucky program are
posted at www.ThinkKentucky.com/dci/SBIR.