Genetic Engineering & Biotechnology News

AUG 2014

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10 | AUGUST 2014 | GENengnews.com | Genetic Engineering & Biotechnology News Gail Dutton In transforming itself from a reagents sup- plier to a next-generation sequencing (NGS) applications company, Enzymatics is advanc- ing the genomics industry. While Enzymatics continues to support and expand its fast- growing core business—reagents and kits for original equipment manufacturers—it is also taking advantage of a new technology—An- chored Multiplex PCR (AMP™) chemistry. AMP, which was developed by researchers at Massachusetts General Hospital, formed the basis of ArcherDx, a startup that was ac- quired by Enyzmatics almost a year ago. With AMP, Enzymatics intends to move up the value chain, providing not just raw tools, but diagnostic tests for specifc genetic mutations. The AMP-targeted sequencing technol- ogy, known as Archer™, generates enriched libraries of targets of interest. And, because it focuses on only those targets, Enzymatics offcials claim that researchers can identify more complex mutations more quickly than when using whole-genome analysis. When Enzymatics' executives met Archer's co-founders, all the assembled parties realized two things. First, Archer's analytics platform and AMP chemistry had the power to thrust NGS toward industrial-scale commercializa- tion for mass markets as well as research. Second, Enzymatics had the experience and resources to make that happen rapidly. "We have a track record of supporting dy- namic, high-growth technologies and taking them to the next level," emphasizes Stephen Picone, Enzymatics' co-founder and chief strategy offcer. "We knew the AMP chemis- try would make a signifcant impact in health- care. It has a high human impact, so it made sense to bring the two businesses together." "Although ArcherDx technically was an acquisition, we think of it as a merger," Picone adds. "We applied our focus to put the Enzymatics machine behind the power- ful Archer application. So far, it seems to be an ideal match. With our combined strength, we executed Archer's three-year business plan in one year." AMP: Purpose-Built for Oncology "AMP is the frst target-enrichment meth- od for NGS that is purpose-built for cancer," Jason Myers, Ph.D., CSO for Enzymatics and co-founder of ArcherDx, tells GEN. AMP allows the detection of known and novel gene fusions in a single multiplex assay without requiring prior knowledge of break- points or fusion partners. This capability en- ables researchers to capture and uniformly amplify only the targets of interest. Specifcally, the AMP chemistry identi- fes and detects gene rearrangements, single nucleotide variants, insertions, deletions, copy number variants, or changes in RNA abundance, enabling the identifcation of rare, recurrent mutations. Unlike traditional library-preparation methods, AMP ligates half-functional adapters before amplifca- tion with target-specifc primers on one end Targeted Sequencing Technology Enhances Gene Mutation Identifcation and Discovery Enzymatics Enriches NGS with AMP CORPORATE PROFILE Enzymatics' Archer Technology embodies advances in three areas of next-generation sequencing: assay, workow, and analysis. The reagents, the kitting solution, and the Archer product itself are shown here. > Servier and Five Generic Firms Get EU Antitrust Slapdown Servier and five generic drug companies—Niche/ Unichem, Matrix (which is now a part of Mylan), Teva, Krk a, and Lupin—are being fined €427.7 million (around $583 million) by the European Commission for making deals aimed at protecting Servier's blood pres- sure medication perindopril from generic competition. The EC says Servier used a series of patent settlements with generic rivals and a technology acquisition as part of a scheme to exclude competitors and delay the entry of cheaper generic medicines—a violation of EU anti- trust rules. Servier is being hit with €331 million (around $451 million) in fnes; the fve generic frms are being slapped with €96.7 million ($131.7 million). The cash payments Servier made to generic frms reportedly amounted to several tens of millions of euros; in one case, Servier al- legedly ofered a generic company a license for seven national markets if it ceased all eforts to launch perin- dopril in the EU. > Salix, Cosmo See Green in $2.7B Merger Salix Pharmaceuticals and Cosmo Pharmaceuticals agreed to a merger in which Salix will become a subsid- iary of an Irish-domiciled unit of Cosmo that will change its name to Salix. This will enable Salix to reduce its taxes. Salix, now based in Raleigh, NC, will pay Cosmo about $2.7 billion in stock, in return for owning Cos- mo's U.S. patents for rifamycin MMX®, for conditions of the colon, and the ulcerative colitis treatment Uceris® (budesonide). Upon completion of the merger, Salix shareholders are expected to own just under 80% of the ordinary shares of the Cosmo subsidiary, to be renamed Salix Pharmaceuticals plc, with Cosmo expected to own slightly more than 20%. > Concept Life Sciences Acquires Three Companies Concept Life Sciences acquired three companies with a combined enterprise value of $100 million—Peakdale Molecular, Scientifc Analysis Laboratories (SAL), and Re- source & Environmental Consultants (REC). Concept Life Sciences said the acquisitions reflect its focus on lab-based analytical testing and complex chemistry synthesis. That focus will broaden as it plans to boost spending in biological sciences, cell-based absorp- tion, distribution, metabolism, and excretion (ADME) ser- vices, biostorage, and stability testing operations. Headquartered in London, Concept Life Sciences has more than 500 stafers in 10 core locations, with plans to expand in the European continent and the U.S. > Baxter Buys AesRx, Adding Phase II Sickle Cell Compound Baxter International acquired orphan drug developer AesRx, whose lead product Aes-103 is a Phase II prophy- lactic treatment for sickle cell disease. The price was not disclosed, however, Baxter said it made an initial pay- ment to acquire the company, and may make additional future payments based on undisclosed development, regulatory, and commercial milestones. Aes-103 is a frst-in-class, oral, small molecule com- pound (5-hydroxymethylfurfural) designed to bind to hemoglobin, changing its structure, and increase oxygen afnity and stabilization, thereby reducing the sickling of red blood cells. Aes-103 is currently in a Phase II clinical trial as part of an ongoing collaboration with the NIH's National Center for Advancing Translational Sciences, through its Therapeutics for Rare and Neglected Diseases program. It has received an orphan designation from the FDA, and is eligible for orphan designation in Europe. > Bio-Techne Acquires Novus Biologicals for $60M Bio-Techne closed on its $60 million cash acquisi- tion of Novus Biologicals, a deal designed to expand the buyer's antibody business while complementing its operations in developing and manufacturing purifed proteins. Novus maintains portfolios of both outsourced and in- house developed antibodies and other reagents among its oferings of more than 250,000 products, delivered via its own digital commerce platform. That's more than 10 times the 24,000 products in Bio-Techne's portfolio, which during the 2013 fscal year accounted for about $311 million in net sales. Bio-Techne said the Novus deal will enable it to access antibodies for potential inclusion in new assays and kits, as well as for instruments the acquiring company said it intends to bring to market after it completes the deal. n News INDUSTRY WATCH

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