Abbott Laboratories is backing the research and developmentof a particular complex carbohydrate compound by NeosePharmaceuticals Inc. The privately held Horsham, Pa. companyannounced Thursday that Abbott bought about 2.3 percent ofits stockH$2 million in equityHin conjunction with theagreement, and will contribute up to $15 million toward theventure through 1996, if milestones are met.
The agreement will partially fund Neose's manufacturing,preclinical and clinical development of the targetedcarbohydrate; the remaining monies will come from Neoseitself, which has raised about $8 million in seed capital since itsfounding in 1990, said Dennis Langer, Neose's president andchief executive officer.
Under the terms of the agreement, Abbott of Abbott Park, Ill.,will receive the worldwide marketing rights while Neose willretain manufacturing rights and receive a royalty based oncommercialization of the product. The parties will share equallyin sub licensing fees for compounds developed jointly.
Neose hopes to capitalize on the potential of complexcarbohydrates for treating and preventing a variety ofinfectious diseases as well as for inhibiting the inflammatoryresponse to injury. The company's proprietary technologyallows it to synthesize naturally occurring complexcarbohydrates enzymatically.
In fact, Neose announced just this Monday that it had licensedexclusively the synthesis technologyHwhich actually covers aprocess to obtain and easily use the synthetic enzymes knownas glycosyltransferasesHfrom the University of Pennsylvania."We built the company around our synthesis technology,"Langer told BioWorld. "We're dedicated to complexcarbohydrates."
-- Jennifer Van Brunt Senior Editor
(c) 1997 American Health Consultants. All rights reserved.