CogState releases details of UBC agreement

By Dylan Bushell-Embling
Tuesday, 29 July, 2008

Melbourne's CogState [ASX: CGS] has released the terms of its planned partnership with US pharmaceutical services company United BioSource Corporation [UBC], announced last week.

Under the arrangement, CogState and UBC will join forces to provide a comprehensive cognitive testing solution for use in clinical trials.

CogState markets six computerised diagnostic products to test cognitive function. It also has a therapeutic division with two compounds in early develop for Alzheimer's and Parkinson's diseases.

Under the agreement, UBC will buy a 15 per cent share in CogState, at a cost of around $800,000. UBC will also underwrite CogState's share rights issue.

Both companies will remain separate entities. In a statement to the stock exchange, CogState stressed that the arrangement will not necessitate any management changes or job losses.

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