TSX symbol: SBS
CALGARY, Oct. 22 /CNW/ - SemBioSys Genetics Inc. (TSX:SBS) today announced that it has entered into an exclusive commercial license agreement with Instituto de Agrobiotecnologia Rosario S.A. (INDEAR). The agreement pertains to the commercialization and supply of SemBioSys' safflower-produced chymosin, a protein used in the manufacture of food products. INDEAR signed an option agreement with SemBioSys in January 2008 to evaluate the utility of using SemBioSys' plant-based technology for the production of chymosin.
In exchange for an upfront technology access fee, SemBioSys has granted INDEAR an exclusive royalty-bearing license to SemBioSys' technology in Argentina. INDEAR will use SemBioSys' technology to extract chymosin from modified safflower seeds and sell the protein for use in the manufacture of cheese in Argentina. Under the terms of the agreement, SemBioSys has granted INDEAR a time-limited right of first refusal to expand the territory beyond Argentina. Financial terms of the agreement were not disclosed.
"Chymosin is one of the first transgenic products developed by SemBioSys. INDEAR is an ideal partner to work with us to launch the product," said James Szarko, President and CEO of SemBioSys. "This transaction is an example of SemBioSys' strategy to partner existing non-pharmaceutical programs to accelerate commercialization without deviating from our core areas of focus: the development of Biosimilar Insulin and Apo AI(Milano). This commercialization agreement is another validation of SemBioSys' platform technology as a versatile, scalable, and cost effective protein production system. It also helps to secure future revenue streams based on our non-pharmaceutical products."
Chymosin is a natural protein, historically derived from calves, used in the production of cheese. The majority of chymosin used today is produced via fermentation in E. coli or fungi. Using its proprietary plant expression system, SemBioSys has developed animal-free, kosher-quality chymosin and an extraction process that will allow for the production of chymosin in plants at a significantly reduced cost.
Calgary, Alberta-based SemBioSys is focused on leveraging its unique proprietary platform to manufacture high-value proteins and oils. SemBioSys' seed-based protein production system can provide for its partners product enablement, exceptionally low cost and unprecedented scalability. SemBioSys is applying the platform with high selectivity to products with tremendous clinical promise and value potential. The Company's current pharmaceutical development programs include insulin (SBS-1000, regulated as a biosimilar in Europe) and Apo AI(Milano), a next-generation cardiovascular therapy. SemBioSys is listed on the Toronto Stock Exchange under the ticker SBS. More information is available at www.sembiosys.com.
INDEAR is the R&D subsidiary of Bioceres, an Argentina-based investment management firm in the area of agricultural biotechnology. The Company's Molecular Farming interest involves technologies for large scale production of industrial enzymes using plant seeds as bioreactors. More information is available at www.indear.com.
This press release contains certain forward-looking statements, including, without limitation, statements containing the words, "will", "intend" and other similar expressions which constitute "forward-looking information" within the meaning of applicable securities laws. Forward-looking statements reflect the Company's current expectation and assumptions, and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated. These forward-looking statements involve risks and uncertainties including, but not limited to, the interest which SemBioSys will receive in an entity resulting from the Third Party Transaction, the completion of the Third Party Transaction and other risks detailed from time-to-time in the Company's ongoing filings with the Canadian securities regulatory authorities which filings can be found at www.sedar.com. Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. The Company undertakes no obligation to publicly update or revise any forward-looking statements either as a result of new information, future events or otherwise, except as required by applicable Canadian securities laws.
SOURCE SemBioSys Genetics Inc.
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