• Section 1 - Purpose
• Section 2 - Authority
• Section 3 - Scope
• Section 4 - Procedure
• Research IP Translation Entities
• Proposal to Participate in a Research Translation Entity
• Negotiations
• IP Translation Venture Committee
• Disposal
•  Reporting
• Register
• Responsibilities
• Section 5 - Compliance
• Section 6 - Subordinate Policy Documents
• Section 7 - Definitions

Section 1 - Purpose

(1) This procedure establishes the governance, approval, oversight and reporting framework for the participation in, acquisition, management, and variation or Disposal of an interest in a Research IP Translation Entity by the University. 

(2) The purposes of this procedure is to:

1. enable efficient and responsible research translation;
2. clarify roles, delegations and escalation pathways;
3. ensure compliance with applicable law and University policy; and
4. support appropriate risk management in venture creation and commercialisation activities. 

(3) This procedure recognises that Research IP Translation Entities operate within a venture and innovation context requiring commercial judgement, timely decision-making, and proportionate governance oversight. 

Section 2 - Authority

(4) Authority for this document is established by the Controlled and Non-Controlled Entity Policy

Section 3 - Scope

(5) This procedure applies to:

1. all Research IP Translation Entities within the RMIT Group;
2. all proposed acquisitions of, or participation in, a Research IP Translation Entity.

(6) This procedure applies irrespective of whether the University’s interest is held directly or through an approved intermediary vehicle (including a holding company). 

Section 4 - Procedure

(7) RMIT may acquire or participate in a Research IP Translation Entity where it is satisfied that doing so: 

1. aligns with the RMIT’s strategic research and innovation objectives;
2. advances the translation and commercialisation of RMIT intellectual property;
3. facilitates societal, economic or environmental impact arising from RMIT research;
4. addresses market failure where private actors are unwilling to assume early-stage technology risk; 
5. enhances industry engagement or strategic research partnerships; 
6. protects or preserves the long-term value of RMIT developed IP; 
7. supports academic founders in progressing research translation opportunities. 

Research IP Translation Entities

(8) Research IP Translation Entities may include a non-controlled interest in:  

1. spin-out companies;
2. joint venture companies;
3. holding companies;
4. licensing vehicle entities;
5. investment-backed startups companies;
6. research translation platforms entities;
7. any other appropriate structure recommended by RMIT Legal Services Group.

Proposal to Participate in a Research Translation Entity

(9) A proposal to participate in a Research IP Translation Entity must include an assessment of the matters detailed in clause (9) of the Controlled and Non-Controlled Entity Policy (Policy) and be appropriate or commensurate to the nature of the activity being proposed. 

(10) The assessment of the proposal must be performed and documented by the Intellectual Property IP Translation Venture Committee (IPTVC) to support approval. 

(11)  The Vice-Chancellor (VC) or delegate prescribed in the Delegations of Authority Schedule 2 – Research and Innovations Delegations may approve a proposal for participation in a Research IP Translation Entity.   

Negotiations

(12) Negotiations must not result in binding commitments unless approval has been granted in accordance with the Policy and this procedure.

(13) Commercial negotiations may be undertaken by:

1. the Deputy Vice-Chancellor Research and Innovation (DVC R&I) (or delegate);
2. RMIT Legal Services Group;
3. External advisors approved in accordance with Procurement and Expenditure Policy. 

IP Translation Venture Committee

(14) The IPTVC is established to oversee and support RMIT’s Research IP Translation Entity activities.

(15) The IPTVC is governed by its Terms of Reference. 

(16) The IPTVC has responsibility for:

1. overseeing of the IP research translation venture process across the investment lifecycle, including evaluation,  monitoring and divestment;
2. reviewing and assessing proposed Research IP Translation Entity activities prepared;
3. evaluating submissions for proposals including assessing and advising on alignment with this procedure as applicable;
4. providing recommendations to approve or decline a proposal to participate, invest, scale, support or dispose of an interest in a Research IP Translation Entity;
5. Monitoring the performance, valuation and risk profile of active Research IP Translation Entities ensuring alignment with RMIT’s risk appetite. 

Disposal

(17) A proposal to dispose of a Research IP Translation Entity must be assessed in accordance with clause (12) of the Policy and the following matters as appropriate to the nature of the activity:

1. Fair value and benchmarking: RMIT must take reasonable steps to ensure that disposal is undertaken at a fair and defensible value. This may include benchmarking against comparable transactions, independent valuation advice, or market testing where appropriate; 
2. Probity and process integrity: the disposal process must be conducted in a manner consistent with probity principles, including transparency of process, documentation of decision-making, and management of actual or perceived conflicts of interest;
3. Counter-party due diligence: checks must be undertaken to assess the counterparty’s legal standing, financial capacity, and regulatory compliance;
4. Source of funds and reputation considerations: RMIT must take reasonable steps to ensure that proceeds of disposal are not derived from unlawful or unethical activities, and that the transaction does not expose RMIT to reputational harm or association with activities inconsistent with its mission and values;
5. Intellectual property continuity and impact: where the disposal results in the RMIT ceasing to hold an interest, consideration must be given to:
   1. where applicable, whether appropriate protections remain in place in relation to RMIT IP;  
   2. whether ongoing licence, research collaboration, moral rights or attribution obligations are preserved;
   3. whether the transaction supports the continued translation and societal benefit of the underlying research;  
6. Strategic alignment and risk appetite: whether the disposal aligns with the University’s broader research and impact strategy, and risk appetite.   

 Reporting

(18) The DVC R&I must notify the VC and the University Secretary and Academic Registrar of any change in the formation, participation in, or divestment of an interest in a Research IP Translation Entity including any changes to the risk profile or interest held. 

(19) Any conflicts of interests arising from or in connection with the IP Research Translation Entity must be reported in the Conflicts of Interest Declaration Portal. 

(20) The DVC R&I or delegate shares information with and reports to the Investment Advisory Group as part of the financial reporting cycle. 

(21) The Audit and Risk Management Committee assists Council to monitor the effectiveness of this procedure and receives periodic reports on IP Research Translation Entity activities.

Register

(22) A central register of Research IP Translation Entities must be maintained by the DVC R&I or delegate. 

(23) The register will be reviewed annually by the IPTVC and made available to the University Secretary and Academic Registrar for monitoring and reporting purposes. 

(24) At minimum, the register should include:

1. the Research IP Translation Entity’s name;
2. date of establishment;
3. nature and size of RMIT’s interest;
4. RMIT representation;
5. financial exposure;
6. last valuation;
7. disposal history, as applicable.  

Responsibilities

(25) The Chief of Staff to the Vice-Chancellor may approve amendments to this procedure on the recommendation of the DVC R&I and University Secretary and Academic Registrar. 

(26) The DVC R&I or delegate is the operational contact for this procedure

Section 5 - Compliance

(27) The DVC R&I must ensure that any proposed, approved or disposal of an interest in a Research IP Translation Entity satisfies: 

1. any applicable laws and regulatory requirements;
2. policies of the University, including, without limitation, the Delegations of Authority Policy, Intellectual Property Policy, and Conflicts of Interest Policy.

(28) Breaches of this procedure are reportable via the Organisational Breach Reporting Form and are managed in accordance with the Compliance Breach Management Procedure.

Section 6 - Subordinate Policy Documents

Section 7 - Definitions