Investment
Bioengineering specialist Biotica Technology Ltd has sealed a collaboration with GlaxoSmithKline (GSK) to discover, develop and commercialise novel erythromycin-based macrolides (a type of antibiotic) for to treat inflammatory diseases.
In the three-year research collaboration, Biotica will use its bioengineering technology to generate compounds that are not readily accessible via conventional medicinal chemistry. The company has the ability to engineer novel structures into rapamycin and other polyketides – a range of natural compounds derived from actinomycete bacteria – through the targeted alteration of their biosynthesis. This makes it possible to reach spaces within the structure that cannot be accessed using conventional chemical synthesis.
GSK will be responsible for the optimisation, development and commercialisation of compounds discovered by Biotica.
Under the terms of the agreement, Biotica will receive an initial cash payment, and is eligible to receive up to £86 million per compound in development, approval and commercialisation milestones, plus royalties on sales.
In addition, GSK made an undisclosed equity investment in a first close of Biotica’s fourth round of private funding. The round remains open for additional investors.
“The deal with GSK significantly boosts our cash position and enables us to further strengthen our position as the leading natural product optimisation company,” said Edward Hodgkin, CEO of Biotica.
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