RELATED PARTY TRANSACTION

9 Months Ended

Sep. 30, 2018

RELATED PARTY TRANSACTION

RELATED PARTY TRANSACTION

(11) RELATED PARTY TRANSACTION

In May 2017, the Company entered into a professional services agreement for recruiting and related services with a firm whose principal is a non-employee director. In accordance with the agreement, the Company is expected to make cash payments totaling up to an aggregate of $0.5 million under the agreement during 2017 and 2018. The Company incurred charges of $0.2 million and $0.3 million for the three and nine months ended September 30, 2018. The Company made payments of $0.2 million and $0.3 million for the three and nine months ended September 30, 2018. The Company incurred charges of $0.1 million and $0.2 million for the three and nine months ended September 30, 2017. The Company made payments of $0.1 million and $0.2 million for the three and nine months ended September 30, 2017.

In November 2017, the Company made a $3.0 million equity investment in Biomatrica, as further described in Note 2. The Company incurred $0.1 million and $0.2 million in purchases from the supplier for the three and nine months ended September 30, 2018.  In June 2018, the Company loaned Biomatrica $1.0 million pursuant to a Senior Secured Promissory Note and Security Agreement, which is reported in prepaid expenses and other current assets on the Company’s condensed consolidated balance sheets. As discussed in Note 2 above, on October 2, 2018, the Company acquired the remaining outstanding equity interests of Biomatrica.