Agracetus Inc., which claims broad proprietary rights to allforms of transgenic cotton, said Wednesday that it has granteda non-exclusive license to certain of its technology to MonsantoCo.

The Middleton, Wis., subsidiary of W.R. Grace & Co. received anup-front fee and will receive royalties. The agreement excludesAgracetus' Accell particle gun technology. Other terms weren'tdisclosed.

"Agracetus has a proprietary position pending or issued for anytransgenic cotton developed by any method," said RussellSmestad, vice president of finance and commercialdevelopment. "We have an issued patent which covers theAgrobacterium method of transformation, which mostcompanies use."

In addition, Smestad said, a recent court decision betweenGenentech Inc. and The Scripps Research Institute relating tothe development of Factor VIII to treat hemophilia impliedthat Agracetus' technology covers all transgenic cotton.

Agracetus has also filed patents with broad claims for alltransgenic cotton.

"This is the first such non-exclusive relationship," said Smestad."The recognition of our position provided by this agreementwill make other such agreements easier." Agracetus is innegotiations with other companies. -- KB

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