- Development of novel cancer tests also part of the collaboration -
NEW YORK AND QUEBEC CITY, June 29, 2011 /CNW Telbec/ - Signal Genetics,
a privately held predictive genetic testing company focusing on
oncology, and DiagnoCure, Inc. (TSX: CUR), a life sciences company that
develops and commercializes high‐value cancer diagnostic tests, today
announced a collaboration arrangement valued at US$13.3M over the first
five years. This collaboration aims to maximize the commercialization
of PrevistageTM GCC Colorectal Cancer Staging Test, and further develop novel genomic
cancer tests in the field of Personalized Medicine.
Under the definitive agreements underlying the collaboration, Signal
Genetics is granted a worldwide exclusive license to the PrevistageTM GCC Colorectal Cancer Staging Test developed by DiagnoCure, and
acquires DiagnoCure's U.S. CLIA service laboratory. These two elements
of the transaction combined are valued at a minimum of US$10.8M over
five years, broken down into a US$5.7M upfront payment for the
acquisition of DiagnoCure's U.S. laboratory, and a minimum of US$5.1M
in annual installments and royalty payments over the first five years
of the license agreement. In addition, Signal will pay DiagnoCure
US$2.5M under an R&D agreement to advance the development of certain
genomic tests being developed in its Quebec-based laboratories. All
payments will be made in cash.
"PrevistageTM GCC has been shown to offer key clinical information to improve colon
cancer management and has an estimated global market potential of over
US$400M," stated Joe Hernandez, CEO of Signal Genetics. "We are excited
to add it to our product portfolio. With our new subsidiary, CC Health
LLC, we plan to expand our sales force and our marketing partnerships
to sell the test nationwide. Moreover, the R&D agreement provides
Signal and its affiliates access to DiagnoCure's extensive experience
in developing personalized genomic tests in oncology that are
complementary technologies to the company's pipeline."
"After reviewing many options and opportunities for our U.S. division
over the past months, this collaboration arrangement with Signal
Genetics emerged as the best strategic path to maximize the
commercialization of PrevistageTM GCC, and leverage DiagnoCure's assets and R&D expertise," noted Dr.
Yves Fradet, President and Chief Medical Officer of DiagnoCure, Inc.
"Moving forward, the new inflow of funds, added to the growing revenues
generated by the sale of the PCA3 prostate cancer test, will strengthen
DiagnoCure's financial base, and allow us to build on our core
expertise in developing clinically relevant and robust genomic tests in
cancer, in particular lung cancer."
The definitive agreements were executed on June 28, 2011.
Conference call and webcast at 8:30 am
Signal Genetics and DiagnoCure will hold a conference call this morning
at 8:30 a.m. EDT to provide further details on the transaction. The
call will be webcast live through DiagnoCure's website at www.diagnocure.com - Investors page - Presentations. To take part in the Q&A session, dial
1‐877-974-0445 (514‐807‐8791 for Montreal participants), subject
"DiagnoCure special announcement", Conference ID: 4452369.
About Colorectal Cancer and PrevistageTM GCC
Every year in the United States and Canada, 165,000 people are diagnosed
with colorectal cancer. Of that number, 69,000 are considered at low
risk after their surgery. Yet, up to 20% of them suffer recurrence of a
more advanced cancer.
PrevistageTM GCC is currently the only colorectal cancer staging test on the market
that provides prognostic information based on the tumor burden measured
at the molecular level in the lymph nodes. Tumor burden in the lymph
nodes has become more widely recognized by treating physicians as a key
prognostic factor to determine the risk of recurrence of cancer
patients, and hence, to determine which patients might benefit most
from adjuvant chemotherapy and which could be safely managed without
To date, results of published studies totaling over 1,000 patients have
shown that the GCC biomarker is a better predictor, than
traditionally-used factors, of disease recurrence in early-stage
colorectal cancer patients.
In particular, in a recent study (Annals of Surgical Oncology, May
2011), in a sub-set of 181 stage II colon cancer patients, the
PrevistageTM GCC test classified one-third of patients as having a high risk of
recurrence following surgery and two-thirds of patients at low risk of
recurrence. The high risk group had a six times greater likelihood of
recurrence than the low risk group (27% versus 4%).
About Signal Genetics
Signal Genetics, the parent company of Myeloma Health LLC, Respira
Health LLC and CC Health LLC, is a privately held predictive genetic
testing company focused on improving the treatment of cancer patients.
The goal of Signal Genetics is to provide cancer patients and their
physicians with novel and innovative insights into their disease,
including predictive outcome of disease stage, odds of relapse, and the
optimal treatment regimen based on their specific genetic expression
profile. The Company launched its first molecular diagnostic test in
December, 2010, Myeloma Prognostic Risk Signature (MyPRS™) via its CLIA
laboratory in Little Rock, Arkansas. Signal Genetics has marketing
partnerships with two large, national laboratories, including Caris
Life Sciences and NeoGenomics Laboratories. Additional information is
available at www.signalgenetics.com.
DiagnoCure (TSX: CUR) is a life sciences company that develops and
commercializes high-value cancer diagnostic tests that increase
clinician and patient confidence in making critical treatment
decisions. In 2008, the Company launched the PrevistageTM GCC Colorectal Cancer Staging Test through its U.S. CLIA laboratory. The
Company also has a strategic alliance with Gen-Probe (NASDAQ: GPRO) for
the development and commercialization of a second-generation prostate
cancer test using PCA3, DiagnoCure's proprietary molecular marker. This
test is available through laboratories in the U.S. and in Canada using
PCA3 analyte specific reagents (ASR) from Gen-Probe, and in Europe as
the CE-marked PROGENSA® PCA3 in vitro assay. For more information, visit www.diagnocure.com.
This release contains forward‐looking statements that involve known and
unknown risks, uncertainties and assumptions that may cause actual
results to differ materially from those expected. By their very nature,
forward‐looking statements are based on expectations and hypotheses and
also involve risks and uncertainties, known and unknown, many of which
are beyond DiagnoCure's control. As a result, investors are cautioned
not to place undue reliance on these forward‐looking statements. The
forward-looking statements regarding the outcome of research and
development projects, clinical studies and future revenues are based on
management expectations. In addition, the reader is referred to the
applicable general risks and uncertainties described in DiagnoCure's
most recent Annual Information Form under the heading "Risk Factors".
DiagnoCure undertakes no obligation to publicly update or revise any
forward‐looking statements contained herein unless required by the
applicable securities laws and regulations.
SOURCE DIAGNOCURE INC.
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