In light of Biophan’s recent announcements, I wanted to take a moment to update all of our shareholders on the company’s strategic and operational plans. Our strategy is focused on partnering our existing technologies, with a primary focus on medical device companies, in order to most efficiently reach the market. The transaction with MyoCardioCare is one example of that strategy in action. It is the company’s belief that this strategy will best position it to monetize our patent portfolio and provide the greatest possible returns for our shareholders.
MyoCardioCare is singularly dedicated to bringing the Myotech CSS technology to market. It is our belief that MyoCardioCare not only recognizes the investment potential of this technology, but is extremely motivated to see this technology reach the market and make this device available to mankind. The Biophan Board of Directors believed that this was the best opportunity to commercialize the Myotech CSS technology and return value to our shareholders; therefore, the Board voted unanimously to approve the transaction.
Biophan received a 20 percent equity interest in MyoCardioCare, in addition to cash payments under the agreement aggregating $250,000. In addition, MyoCardioCare has assumed all patent and development costs.
Because it is in both companies' interests for MyoCardioCare to succeed, the Biophan board of directors also agreed to allow me to shepherd the transition of the technology to MyoCardioCare and serve as the new company's president. I have been involved with much of the groundwork thus far, and am looking forward to working with the MyoCardioCare team as we seek investors to help us in bringing this technology to the market.
This does not mean that I am leaving Biophan. As Biophan enters its new phase, I will remain in place to oversee its operations on a contract basis. We continue to focus on looking for technology transactions to maximize the value of Biophan's intellectual property assets.
Biophan holds over 40 issued patents and several pending applications, covering a wide variety of technologies. Our technologies related to the biothermal power supply, as well as patents covering pulse width modulation of pacemakers and neurostimulators and novel forms of treatment for atrial fibrillation, have great potential for the multibillion markets for pacemakers and implantable neurostimulators. Our patents on optical catheters for intraluminal MR imaging have the potential to change the way diagnostic procedures are performed. Our patent portfolio related to photonics covers a wide range of medical devices, and our patents in the area of nanomagnetics and shielding have applications extending well beyond the medical device field.
While we focus on additional technology deals, we still maintain our relationships with Boston Scientific and Medtronic, and we look forward to exciting possibilities for the future, augmented by the development of the MyoCardioCare product. Biophan currently receives annual minimum royalty payments from Boston Scientific of $250,000, and is entitled to royalties of 3 to 5 percent on Boston Scientific products incorporating our technology. In addition, Biophan’s ownership interests in MyoCardioCare and Biophan Europe position our shareholders to benefit from the success of these organizations, as well.
It is also critical for us to continue to tightly manage our expenses. The recent decision to discontinue filing reports with the SEC significantly reduces our legal and accounting fees. In addition, we have recently made cuts in staff and compensation levels to reduce our operating expenses further.
We believe that our current strategy of tightly managing our expenses, while focusing our efforts on technology transactions will best position the company to emerge stronger. We continue to pursue transactions with our focus always on achieving the best possible return for our shareholders, now and in the future.