IDT Australia has completed the sale of a medical research clinic originally established by the Royal Adelaide Hospital, and earned a $2 million bonus on top.

The sale of CMAX Clinical Research to Japanese healthcare group I’rom Group has been going on since October last year.

IDT (ASX:IDT) announced to the market on Wednesday that it had completed the $14 million deal and earned an additional $2.16 million that had been conditional on CMAX hitting its revenue targets for the 2016-17 financial year.

CMAX was founded in 1993, bought by IDT in 2002 and runs clinical trials of new drugs and vaccines on human patients.

The centre’s website advertises its overnight stays for clinical trials as “like a holiday” with food, heating and internet supplied.

An advertisement on the CMAX website. Picture: Screenshot
An advertisement on the CMAX website. Picture: Screenshot

I’rom is a stem cell and gene therapy company founded in 1997 and listed on the Tokyo Stock Exchange.

In a company update earlier this year, I’rom president Toyotaka Mori said the company wanted to acquire CMAX because it was a pioneer in cutting-edge research.

“CMAX has extensive practical experience in the support of early stage clinical trials that include global large-scale clinical trials and FIH (first in human) trials,” he said.

IDT has a market cap of about $21 million. Its shares have been on a gradual slide in the past 12 months, between a high of 24c and a low of 7c. They closed on Wednesday at 8.4c.