Oct. 17 /PRNewswire/ -- Novartis Pharma AG and Geneva Proteomics, Inc. (GeneProt(TM)) today announced that they have formed an alliance in proteomics to discover novel therapeutics, targets and biomarkers. Over the course of the collaboration, GeneProt will analyze the protein profile (proteome) of three human diseased tissues or body fluids and their healthy counterparts. Novartis will make a total equity investment of USD 43 Million and will become GeneProt's preferred pharmaceutical partner. This investment will contribute to the expansion of GeneProt's staff over the next few months. The effectiveness of the transaction is subject to receipt of regulatory approval.
The elucidation of the human proteome represents a unique opportunity to give a better understanding of the physiological functions of various proteins in cells, tissues and body fluids. GeneProt has developed an efficient approach to elucidate the involvement of proteins in the disease process and to select and synthesize small novel proteins and peptides. Novartis will select three disease tissues or body fluids on which GeneProt will work in the course of the collaboration. Potentially interesting proteins or peptides will be selected by Novartis for further research and development. Of interest are molecules with therapeutic potential as well as novel targets to be used in Novartis' lead discovery and characterization process and biomarkers which can be measured directly and could be correlated either to disease state or to efficacy and side effects of therapies. By focusing on human tissues, the pace of discovery and relevance in humans is greatly accelerated.
Under the terms of the agreement, Novartis will also pay defined proteome fees of USD 41 million over the course of four years. Further license fees, milestone payments and reimbursements are possible for GeneProt subject to outcomes according to predefined criteria. Novartis will gain exclusivity for three years or longer for several hundred molecules and information on expression patterns studied in the alliance.
``The collaboration with GeneProt complements our in-house research activities in functional genomics and proteomics and strengthens our position as leading in the post-genomics area. GeneProt is an ideal partner for us providing us with industrial scale analysis'', said Dr. Paul Herrling, Head of Novartis Pharma Research.
Cedric Loiret-Bernal, M.D., GeneProt's CEO, stated: ``We welcome Novartis' partnership in this exciting endeavor. Benefiting from Novartis' scientific leadership and expertise, we look forward in establishing GeneProt as a leading proteomics company.''
The foregoing press release may contain forward-looking statements that involve known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from any future results, performance, or achievements expressed or implied by such statements. These statements can be identified by the use of the language ``potentially interesting proteins or peptides will be selected for further research and development'' or ``of interest are molecules with therapeutic potential ...... which could be correlated either to disease state or to efficiency .....''. There can be, however, no assurance that the alliance will be successful in identifying or further developing compounds that if developed will ever receive marketing approval from the U.S. Food and Drug Administration or equivalent regulatory authorities, or that drugs resulting from this alliance will be marketed successfully, even if any prior results may have been promising.``
This Agreement has been executed by the Parties on the date stated above, and shall become effective (the Effective Date``) upon the later of (a) approval of the execution of this Agreement by Novartis' Board of Directors; and (b) clearance of the Agreement and the transactions contemplated herein under the United States statute known as the Hart, Scott, Rodino Anti-Trust Improvements Act of 1976, as amended (''HSR``), either pursuant to notice to that effect from the United States Federal Trade Commission or the Justice Department, or as a result of passage, without comment, of the waiting period specified under HSR; provided, that this Agreement sha terminate, unless extended by written mutual agreement of the Parties, if it has not become effective as set forth above on or before January 1, 2001. |
