Cryo-Cell signs exclusive world-wide licensing and research agreement with University of South Florida.
According to Daniel D. Richard, chairman and chief executive officer of CRYO-CELL, the company and USF will collaborate in research involving a new technology for the potential treatment of a number of debilitating degenerative diseases. CRYO-CELL, through its wholly owned subsidiary, CCEL BIO-THERAPIES, Inc., will fund a multi-year research project to be conducted at the University's laboratory facilities. The research team is comprised of Juan Sanchez-Ramos, MD, PhD, who will serve as the project's principal investigator, Allison Willing, PhD and Paul R. Sanberg, PhD, DSc.
CRYO-CELL has set aside funding for 2 years of research as a result of option exercises by some shareholders. In addition, an application is being filed for a State of Florida I-4 matching grant, designed to attract biotech companies to the Tampa Bay area. The University will also assist in applying for SBIR and STTR research grants on behalf of CRYO-CELL or CCEL BIO-THERAPIES.
CRYO-CELL and the University are co-assignees of a patent application which has been filed covering the technology to which the company has been granted worldwide marketing rights. Under the terms of the agreement, the University will receive standard royalty payments on product sales and additional milestone payments that may be paid in cash or common stock at CRYO-CELL's option. Should CRYO-CELL decide to sublicense the technology to non-CRYO-CELL subsidiaries in the future, the University will receive one- third of the revenues generated from this source.
Mr. Richard stated, "This agreement and research collaboration with the University of South Florida has provided the company an excellent opportunity to diversify into the exciting biotech field. CCEL BIO-THERAPIES was formed many years ago for the express purposes of expanding technologies other than the company's U-Cord preservation program."
Mr. Richard also announced that Layton BioScience, Inc., which is a company in clinical trials with some promising results using a novel cellular therapeutic, has been granted the right of first refusal to match any offer made for the purchase of an equity position in CCEL BIO-THERAPIES. Mr. Richard and Mr. Gary L. Snable, president and chief executive officer of Layton BioScience, stated that they are exploring opportunities for collaboration in the future.
According to Gerald Maass, executive vice president and general manager of CRYO-CELL, "This is consistent with management's strategy of providing service or products '...from the delivery room...to the world.' Our core business of collecting umbilical cord blood from hospital delivery rooms to be preserved for the future potential medical benefit of the newborn and/or the baby's siblings, should continue to grow significantly as projected. This collaboration with the University of South Florida opens up the possibility of our being able to help people of all ages throughout the world."
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|Comment:||Cryo-Cell signs exclusive world-wide licensing and research agreement with University of South Florida.|
|Publication:||BIOTECH Patent News|
|Article Type:||Brief Article|
|Date:||Mar 1, 2000|
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