MANCHESTER, England, March 2 /PRNewswire/ -- Epistem Plc (LSE:EHP) the UK
biotechnology and research
services company announced today that they have signed a research and
development collaboration with Novartis to identify new drug targets and
therapeutics across a variety of disease areas.
The collaboration combines Epistem's stem cell expertise and
drug discovery programme, with Novartis's insights into disease pathways &
bioinformatics.
Under the terms of the agreement, Novartis will pay Epistem an
upfront cash payment of US$4.0 million and will provide research funding for
2 years. Novartis has an option to exclusively license targets for
development of biotherapeutic products in exchange for license fees,
milestone payments and royalties. For each product developed from targets
licensed under the agreement, Epistem is eligible to receive up to US$45.0
million in milestones. Furthermore, if leads are commercialised Epistem
is eligible to receive tiered royalties on worldwide sales.
Matthew Walls, Epistem CEO, commented: "The collaboration will
enable us to accelerate the development of our existing targets with a world
class pharmaceutical collaborator and to jointly explore disease
opportunities in regenerative medicine."
Dr Jeffrey Moore, Novel Therapies Division Managing Director
said: "The collaboration will leverage each group's strengths to make novel
discoveries leading to advances in treating unmet medical needs across
several disease areas."
Notes to Editors:
About Epistem
Epistem is a biotechnology company commercialising its
expertise in epithelial stem cells in the areas of oncology, gastrointestinal
and dermatological diseases. Epistem develops innovative therapeutics and
biomarkers and provides contract research services to drug development
companies. The Group's expertise is focused on the regulation of adult stem
cells located in epithelial tissue, which includes the gastrointestinal
tract, skin, hair follicles, breast and prostate. Epistem does not conduct
research in the areas of embryonic stem cells or stem cell transplantation.
For further information on the Company, please visit
http://www.epistem.co.uk or contact:
Matthew Walls
+44(0)161-606-7258
CEO
Epistem Holdings Plc.
Neil Mackison / James Steel
+44(0)203-142-8700
Piper Jaffray Ltd.
Mike Wort / Anna Dunphy
+44(0)207-861-3838
Financial PR/IR
De Facto Communications