Biomira Inc. on Thursday said it would consolidate itsdiagnostics production and marketing operations with its ADIDiagnostics Inc. affiliate.
ADI will be responsible for manufacturing and distributingBiomira's Truquant products, including three in vitro diagnostickits to detect gastrointestinal, ovarian and breast cancers, and ahuman anti-mouse antibody (HAMA) diagnostic. Biomira willreceive royalties and other payments.
The transfer will allow Biomira to focus on development of itsActive Specific Immunotherapy to treat cancer, said AlexMcPherson, president and chief executive of Biomira. Thattechnology uses synthetic carbohydrate or peptide antigenscombined with two immunostimulants to elicit an antibodyresponse and a lymphocytic response.
In another transaction, Cambridge Biotech Corp. paid about $3million for 1.9 million shares of ADI, giving it a 17 percentstake in the company. The Worcester, Mass., company also hasan option to acquire an additional 36 percent from ADIshareholders other than Biomira. Edmonton, Alberta-basedBiomira (NASDAQ:BIOMF) holds a 47 percent interest.
Cambridge Biotech (NASDAQ:CBCX) said the agreement gives itaccess to ADI's diagnostics line, which includes tests forhepatitis, syphilis and chlamydia, and provides a Canadianoutlet for its line of more than 40 diagnostic products.
Biomira shares lost 75 cents on Thursday to $15. CambridgeBiotech was off 25 cents to $9.25. -- KB
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