Bionomics ends MS collaboration with Merck Serono

Bionomics (ASX:BNO) and Merck Serono have called off a partnership to develop treatments for autoimmune conditions including Multiple Sclerosis (MS).

The companies had been jointly conducting R&D into developing treatment candidates using compounds in Bionomics' Kv1.3 program.

Kv1.3 is an immune system modulator, and a target found on immune cells associated with cell nerve damage in patients with MS.

Kv1.3 inhibitors have shown potential at inhibiting the proliferation of these immune cells, giving them applications in treatments for autoimmune conditions.

Adelaide-based Bionomics did not give a reason for ending the research collaboration, but said the decision was made with the mutual ascent of Merck Serono.

CEO Deborah Rathjen said the company retains the sole worldwide rights to develop compounds jointly discovered with its former partner.

“We are taking the opportunity to accelerate the program and to add new Kv1.3 applications including rheumatoid arthritis, psoriasis and uveitis,” she said.

Rathjen added that the company plans to take advantage of the strong commercial interest in compounds targeting Kv1.3 to pursue a “a broader partnership strategy for the program.”

The global market for rheumatoid arthritis treatments was worth an estimated US$9 billion ($8.99 billion) in 2009. The psoriasis market was worth around US$3.4 billion in the same year. The overall immunomodulators markets generated an estimated US$46.8 billion in 2010.

Bionomics last month launched a trial of cancer treatment candidate BNC105 in women with Ovarian cancer.

The company is also developing anti-anxiety compound BNC210, through an up to US$345 million deal with Ironwood Pharmaceuticals.

Bionomics (ASX:BNO) shares were trading unchanged on Friday at $0.310.