A Sydney medical technology company, which received NSW Government funding to develop and produce its technology, has been acquired by a global biopharmaceutical company for more than $AUD120 million.

Elastagen Pty Ltd, which developed and produced a product identical to human tissue, was acquired by Irish pharmaceutical company Allergan plc.

Minister for Health Brad Hazzard said the acquisition was a demonstration of the success of the NSW Government’s Medical Devices Fund (MDF).

“We are delighted to have supported Elastagen to develop this product, which has potential applications in the treatment of medical and aesthetic skin conditions, including acne scars, stretch marks, skin repair and surgical wound repair,” he said.

“The Medical Devices Fund was established by the Government to support the commercialisation of research and innovation right here in NSW.

“By supporting these organisations we will ensure that both our health system and economy benefit.”

In 2013, Elastagen received $2 million in funding through the fund to support the development of its technology, and another $4 million was provided in 2017 to scale up production.

“Due to the commercial success of the company, these funds will be paid back to allow the Medical Devices Fund to continue to support NSW innovation into the future,” Mr Hazzard said.

The Medical Devices Fund is an $8.2 million per annum, competitive technology development and commercialisation program funded by the NSW Government, through the NSW Ministry of Health.

To date the MDF has awarded more than $41 million to 24 unique projects.

For the current financial year, the fund has more than $8 million available, and applications are open until 6 March 2018. For further information, visit Medical Devices Fund.