BERLIN, Germany, May 14, 2002 (PRIMEZONE) -- atugen AG today announced a three year, collaboration with Byk Gulden, the pharmaceutical group of ALTANA AG, to validate a number of novel genetic targets associated with cancer and immunological diseases. The two companies previously completed a successful target evaluation agreement, signed in 2001.
Under the terms of the new agreement, atugen will receive an upfront payment, annual licensing fees, research funding and milestone payments over a three-year period, as well as potential downstream royalties on antisense GeneBlocs developed as therapeutics. atugen will develop GeneBlocs, specially designed antisense oligonucleotides, which inhibit expression of specific genetic targets selected by Byk Gulden. atugen and Byk Gulden will jointly analyze the effects of the GeneBlocs in a variety of pharmacological assays and in animal models of disease, thus validating gene function and disease association. atugen will retain all rights to the GeneBlocs developed and have an option to perform Antisense GeneBloc development on targets not pursued further by Byk Gulden.
Dr. Zisi Fotev, VP of Business Development of atugen commented, "This deal further exemplifies atugen as a global leader in genetic target validation. The sequencing of the human genome has produced a vast number of novel gene targets that need fast and reliable validation for therapeutic efficacy at an early stage in order to avoid a subsequent increase in the cost of developing new drugs and the number of product failures. Byk Gulden has recognized atugen's GeneBloc technology as a superior and more efficient means of selecting those genes that are causative to disease."
"Our initial evaluation agreement with atugen proved to be completely successful. Their technology will help reduce our attrition rates and provide important savings in time and research costs," commented Executive Vice President Research and Development Prof. Dr. Radtke of Byk Gulden. "As part of the research, we will be evaluating novel genetic targets in primary T cells, which are associated with inflammatory disease. Traditionally, it has been impossible to perform validation studies in this cell type. However, atugen's library of proprietary lipids, which enable delivery of the antisense molecules into these important cells, are promising to be very valuable in addressing this problem."
atugen's GeneBloc(R) technology is based on the delivery of specially designed oligonucleotides that reduce expression of target genes in vitro and in vivo, thus inhibiting protein production, and hence affecting a biological function. The direct correlation between reduction in target gene expression and effects on cellular function in cellular and animal models of disease rapidly provides the validation required to move the target into drug screening and development. atugen's proprietary delivery reagents carry the GeneBlocs into the cells of interest, allowing for optimal inhibition of gene expression over many days with the least amount of unwanted side effects. In addition to providing rapid target validation, the GeneBlocs can further aid at various stages of the drug screening and development pipeline, for instance by serving as benchmark compounds during lead optimisation and preclinical development.
Byk Gulden (Constance), the pharmaceutical group of ALTANA AG, an international pharmaceuticals and chemicals group with sales exceeding Euro2.3bn in 2001, employing 9100 people globally, concentrates on the areas therapeutics, diagnostics and self-medication and focuses on innovative pharmaceutical research (gastroenterology, respiratory, oncology). Byk Gulden represents a group of about 30 subsidiaries and affiliates in Europe, the Americas and Asia. The chemicals division of ALTANA AG develops, produces and sells additives, specialty coatings and measuring instruments world-wide. The chemicals division has more than 20 subsidiaries and affiliates all over the world.
atugen AG is a leading functional genomics company with headquarters in Berlin, Germany and a subsidiary in Boulder, Colorado, U.S.A. Atugen has the ability to utilize both ribozymes as well as the GeneBloc(R) technology to help pharmaceutical and biotechnology partners to select genetic targets of therapeutic value and validate them quickly and efficiently, as well as helping partners to optimize their lead compounds, resulting in a decrease in the number of product failures and a subsequent reduction in the cost of developing new drugs. atugen's internal research programs in oncology have identified several novel cancer associated genes that are currently being evaluated for the development of small molecule and antisense therapeutics. atugen provides or has provided target discovery and validation services to Arena Pharmaceuticals, AstraZeneca, Axys Pharmaceuticals, Bayer, Byk Gulden, BASF, Boehringer Ingelheim, Kinetek, Millennium, Novo Nordisk, Oxford GlycoSciences, Roche BioScience, Schering AG and its US affiliate, Berlex Biosciences, UCSF and Serono.