Salton Inc paid Island Sky Australia Ltd over $5 million for the right to export the Skywater machine, which captures and purifies moisture from the atmosphere.
According to Sydney Morning Herald, as well as the upfront fee, Salton would pay Island Sky 5 per cent of all gross sales.
Last week Island Sky announced the deal to the stock exchange.
Island Sky Executive Director Michael Paragon said manufacture of the machines would begin in China in August, with hopes that a bigger model