Asterand’s BioSeek enters discovery collaboration agreement with Ono Pharmaceuticals

Asterand (AIM: ATD) said its subsidiary BioSeek and research and development focused specialty pharmaceutical company Ono Pharmaceutical Co Ltd of Japan have signed a multi-year drug discovery collaboration agreement, under which BioSeek will receive research funding and milestone payments upon achievement of a certain milestone by a drug candidate discovered under this collaboration.

According to the terms of the three year research plan, BioSeek will apply its proprietary BioMAP platform in an exclusive collaboration centred on a specific drug target class designated by Ono, performing phenotypic screening and for hit identification, lead optimization and clinical candidate selection.

“Ono's decision to establish this new relationship with BioSeek is an important endorsement of both our technology platform and collaborative research model. Since the range of activities included spans the breadth of BioMAP's potential, we expect great success in this collaboration,” said Asterand chief executive Martyn Coombs.

Asterand bought BioSeek in February for an initial US$1 million in shares, and up to US$13 million in 2011, subject to the level of sales growth achieved in the full year 2010. The company said the acquisition was another step in its 'buy and build' strategy designed to consolidate leadership in the global human tissue and human tissue based services market.

BioSeek’s human-cell based assay systems BioMAP are designed to replicate the intricate cell and pathway interactions that are present in inflammatory, autoimmune and cardiovascular diseases. Asterand said that BioMAP provides pharmaceutical companies with actionable data to guide their lead selection and optimisation programmes.

According to estimates by broker Daniel Stewart & Company (DS&C), BioSeek will generate US$4 million in sales this year.

http://www.proactiveinvestors.co.uk/companies/news/14764/asterands-bioseek-enters-discovery-collaboration-agreement-with-ono-pharmaceuticals-14764.html