US technology company Avant Technologies, Inc. (OTCQB: AVAI) announced on Wednesday that it has entered into a Joint Venture and License Agreement with Art-Islets Pte. Ltd. and Austrianova Singapore Pte Ltd, both Singapore-based biotechnology companies, to accelerate the development of next-generation type 1 and type 2 diabetes therapies.

The agreement includes exclusive licenses that provide the Joint Venture with proprietary technologies designed to improve safety, effectiveness, and commercial viability of encapsulated stem cell therapies. A US-based entity may be established to support clinical trials while maintaining the same ownership structure as the Joint Venture.

Art-Islets contributes a proprietary differentiation system for transforming embryonic stem cells into insulin-producing and regulating cells, while Austrianova offers its cell encapsulation platform, supported by more than 50 peer-reviewed studies and global industry partnerships.

Avant Technologies will provide initial funding over the next eight months to reach key development milestones and will seek additional financing to advance the program toward a Phase 1 clinical trial in the United States or a comparable market.