08:25 AM EDT, 07/17/2024 (MT Newswires) -- Scisparc ( SPRC ) said Wednesday it signed a non-binding letter of intent that would give an undisclosed biotechnology company exclusive and royalty-bearing global licenses to develop and sublicense its SCI-160 program for pain treatment.

The company said that in exchange, it would be entitled to $3 million in ordinary shares and pre-funded warrants of the biotechnology company.

SciSparc ( SPRC ) said it could receive additional payments and execution fees of about $3 million in cash if certain milestones were met.

The company said certain studies showed that SCI-160, a synthetic cannabinoid formulation for pain treatment, was well-tolerated and had a similar analgesic effect to high-dose morphine.