ORPH.L Share News (ORPH)

(Sharecast News) - Pharmaceutical services company Open Orphan announced the signing of a new contract with Carna Bioscience on Tuesday, for a first-in-human clinical pharmacology trial.
The AIM-traded firm said the contract was expected to deliver "significant revenue" for its Venn Life Sciences business over the next 12 months.

It said the contract would see the Breda office of Venn in the Netherlands provide Carna with a range of expertise, such as pharmacokinetic and pharmacodynamic analysis and other services related to early clinical development.

Open Orphan described Carna as a Japanese company, which specialises in kinase biology, developing innovative treatments against cancer and immune disorders.

The new contract would build on several years of existing work, during which both parties "closely collaborated" on drug development planning and pre-clinical activities.

In recent weeks, Venn's CMC team, which is also based in Breda, won a contract extension to continue a Dutch biotech on chemistry, manufacturing and controls until at least the end of the year.

The board said both contracts were further evidence of Open Orphan's strategy to secure long-term partnership contracts, which deliver recurring revenues for the business by working in close collaboration with "high quality" customers.

"This new contract with Carna further extends our relationship and demonstrates our ability to successfully service clients, resulting in repeat business," said executive chairman Cathal Friel.

"We look forward to carrying out this contract over the next year as we deliver on our strategy of generating recurring revenue through long term, service contracts."

At 1116 BST, shares in Open Orphan were up 2.99% at 13.08p.