Does this follow the rules for magical healing? Nothing is actually being healed, so I wonder.

If it doesn't follow those rules:
1) It doesn't matter if it is used before or after biotech, or the Heal or Treat spell.
2) Can it be used multiple times?
a) Guy has deadly wound, adept transfers 2 boxes at a time, then teammate uses biotech to stage adept's Light wound to nothing.
b) First attempt results in failure; try, try again.

I can see this having the effect of no more downtime while characters heal.