ValiRx Regulatory News (VAL)

15 Dec 2008 07:00



ValiRx plc

ValiRx secures global distribution agreement for diagnostic subsidiary ValiBio with US based Biofield and secures €600,000 from sale of 10% in subsidiary

15 December 2008. London, UK:  ValiRx (AIM: VAL, "ValiRx", "the Company") subsidiary cancer diagnostics company ValiBio SA, has entered into an exclusive worldwide distribution agreement with international medical devices company Biofield Corp ("Biofield") for its Human Papilloma Virus (HPV) diagnostic test for cervical cancer and a worldwide distribution agreement (excluding Belgium) for its Hypergenomics™ and Nucleosomics™ diagnostics products. 

Under the terms of the agreement, ValiRx has also sold a 10% stake in its wholly-owned diagnostics subsidiary, ValiBIO, for €600,000 in cash to Biofield with an option for Biofield to purchase an additional 15% of the Belgium-based operation.

There are over 100 different HPV viruses with certain subtypes carrying a high risk of causing cervical cancer. The global market for HPV testing is projected to be $250m in 2008, with the total available market valued at $1bn should HPV screening replace current conventional cervical cancer testing methods. 

Information concerning Biofield can be found on its website - www.biofield.com

Dr Satu Vainikka ValiRx's Chief Executive Officer said:

"This distribution agreement provides ValiBio SA with the route to the international oncology diagnostics market with a major provider of medical and health diagnostics. We are confident there is considerable market potential for these types of novel diagnostic products and expect this agreement to accelerate our revenue potential.

"Secondly, this commercial agreement also secures additional funding for our business at this important time which will be applied to the continued development of our next generation cancer diagnostics as well as to the progression of our cancer therapeutics."

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Notes to Editors 

About ValiRx - www.valirx.com 

ValiRx plc (AIM:VAL, 'ValiRx') is a cancer therapeutics and diagnostics company headquartered in London, England and admitted to AIM in October 2006. The Company operates through two subsidiaries, ValiPharma (formerly trading as Cronos Therapeutics) (www.valipharma.com), a UK-based epigenetic drug discovery and development business and ValiBio SA (www.valibio.com), a Belgium-based oncology diagnostics operation.

Therapeutics -- ValiPharma

ValiRx utilises a cells own inherent gene control machinery to silence genes involved in cancer cell progression, effectively "switching off" genes involved in certain forms of cancer through its platform technology GeneICE™ (Gene Inactivation by Chromatin Engineering),. GeneICE™ works through the recruitment of silencing complexes known as Histone Deacetylase Complexes (HDACs) to target genes involved in cancer. ValiRx's lead product VAL 101 targets the anti-apoptotic gene BCL-2 which is over expressed in many cancers including in pancreatic cancer. The Company has also recently expanded its pre-clinical portfolio to include VAL 201 in prostate cancer.

Gene silencing technology platform potentially represents an innovative and ground breaking new approach to cancer treatment as it allows for the development of targeted, personalised medicine and treatment for patients. GeneICE™ is also applicable to a wide variety of other genetic disorders such as in the fields of neurology and inflammatory diseases.

Diagnostics - ValiBIO

ValiRx currently has two epigenetic diagnosis products - HyperGenomics™, a method for the detection and identification of hypersensitive sites in cells and Nucleosomics™, a non-invasive (blood) test for early cancer diagnosis based on epigenetic signal changes associated with malignancy - which it licences to its subsidiary, ValiBIO.

Nucleosomics diagnostic products

Nucleosomics is a platform for non-invasive (blood) tests for early cancer diagnosis based on epigenetic signal changes associated with malignancy. 

ELISA tests for global histone modifications expressed in cell free nucleosomes in blood that are characteristic of cancers are currently under development. The company expects to launch early Nucleosomics products for research use in 2009. Diagnostic products regulated by EMEA and the FDA will follow. Early disease focus is in lung, pancreatic and colon cancer.

HyperGenomics diagnostic products

HyperGenomics is a platform for differential diagnostic and prognostic tests in cancer as well as testing for personalised medicine. 

ValiBIO is developing differential diagnostic products for cancer. The company's early disease focus is in leukaemia, prostate and colon cancer.