BioWorld International Correspondent

BRUSSELS, Belgium - Ablynx, the Ghent, Belgium-based developer of antibody-derived therapeutic proteins, has rejected claims of patent infringement from Domantis, the GlaxoSmithKline-owned UK developer of Human Domain Antibodies.

Domantis has filed a request for arbitration against Ablynx claiming a dispute exists in relation to the interpretation of certain provisions of a settlement agreement relating to the Winter-II patent, which Ablynx and Domantis entered into on June 3, 2005. In its arbitration claim, Domantis asserts that certain of Ablynx's activities are not permitted by the terms of the settlement agreement. Domantis claims that it will seek, among other things, damages and an order to prevent Ablynx from engaging in those activities in the future. In Europe, CAT's Winter II patent, covering antibody expression libraries, was granted April 9, 1994, and expires in Europe in 2009.

In a statement, Ablynx denied the claims in their entirety and said it would respond by seeking an affirmative declaration that Ablynx is fully entitled to pursue its current activities and that it has not defaulted on any material obligation under the settlement agreement. Edwin Moses, CEO and chairman of Ablynx, commented: "We believe that the claims made by Domantis are without merit and vigorously disagree with Domantis' interpretation of this matter. We will defend ourselves against these allegations and seek every remedy available under the law. We are confident that our activities are fully compatible with the settlement agreement and that the allegations made will not jeopardise the future of our research, development and commercialization activities." Ablynx also said it will assert counterclaims against Domantis in connection with its conduct.

Ablynx claims to be a "pioneer in the discovery and development of Nanobodies, a novel class of therapeutic proteins based on single-domain antibody fragments." Domantis, a wholly owned subsidiary of GlaxoSmithKline since January 2007, said its Human Domain Antibodies are "the next generation of antibody molecules . . . therapeutic molecules that have benefits of both small molecules and conventional antibodies."

It claims that like human antibodies, dAbs can be designed to have specificity and high affinity for the biological target of interest, adding, "Due to its exclusive intellectual property and technology position for Domain Antibodies, Domantis is the only company capable of fully exploiting human Domain Antibodies."

Ablynx disclosed in its Oct. 12, 2007, prospectus that GlaxoSmithKline (which had by then acquired Domantis) had notified Ablynx that it believed that a dispute existed in relation to the interpretation of certain provisions of the settlement agreement between Ablynx and Domantis.