Thursday, September 4, 2008

Repligen wins $1.12M in research grants

By Mass High Tech Staff

Biopharmaceutical company Repligen Corp. reports it has taken in $1.125 million in research grants to develop tools to help create new treatments for the rare neurodegenerative disease Friedreich’s ataxia.

The Muscular Dystrophy Association awarded Waltham-based Repligen (Nasdaq: RGEN) $1 million and the Friedreich’s Ataxia Research Foundation and the National Ataxia Foundation combined to give $125,000, according to Repligen officials.

Repligen will use the funds to develop and prepare drug candidates for clinical trials and also develop biomarkers to monitor the effect of the drugs.

Friedreich’s ataxia is a congenital neurodegenerative disease caused by a single gene defect that leads to the body not producing enough of the protein frataxin, leading to progressive damage to the nervous system and loss of muscle function. Repligen launched a development program for Friedreich’s ataxia in April 2007, according to officials.

In April 2008, Repligen settled a patent-infringement lawsuit with drug company Bristol-Myers Squibb Co. related to Bristol-Myers’ Orencia treatment.

The settlement called for the New York pharmaceutical firm to pay Repligen $5 million initially and tiered royalties on the first $2 billion in sales of Orencia from Jan. 1, 2008 through 2013, that could be worth a potential $117 million, according to Repligen. Under the terms of the deal, Repligen and the University of Michigan, a co-plaintiff in the suit, granted Bristol-Myers an exclusive license to certain patents related to Orencia and dropped the 2-year old lawsuit.

Repligen reported a $37 million profit for 2008, on revenue of $19 million.