Meditech in deal with UK's SkyePharma

Perth-based Meditech Research (ASX:MTR) has signed an exclusive commercial agreement with British drug company SkyePharma giving the local biotech access to a suite of new patents.

Meditech said the deal would greatly enhance the commercial value and patent protection of its platform technology Hyaluronic Acid Chemosensitising Transport, or HyACT.

Chairman Robert Moses said the agreement meant that an exclusive, worldwide licence could now be offered with each HyACT formulation.

"The addition of the SkyePharma patents to Meditech's existing patent portfolio places Meditech in an ideal position to pursue its strategy of developing and licensing its HyACT technology and formulations to multinational pharmaceutical companies," Moses said.

The technology, developed at Monash University in Melbourne, is built on hyaluronic acid as a drug delivery vehicle for anti-cancer compounds.

Hyaluronic acid is a naturally occurring polysaccharide found in all mammals and is considered an ideal drug delivery vehicle because it is non-toxic, not immunogenic, and has been registered for intra-articular and intra-ocular use in humans for several years.

Under the new agreement rights to core patents, previously licensed on a non-exclusive basis to Meditech, will now be exclusive and worldwide. The company will also have exclusive access to a suite of 26 related patents.

In return, SkyePharma is to receive royalties based on net proceeds Meditech expects to receive from the commercial sale of HyACT products through yet-to-be-secured sub licences with major pharmaceutical companies.

SkyePharma chief executive officer and Meditech shareholder Michael Ashton said the Perth company had demonstrated its leadership in developing HyACT formulations.

"Meditech's many years of experience with hyaluronan and its unique HyACT formulation knowledge enables it to provide attractive product options for pharmaceutical companies seeking to enhance their cancer product portfolios and strengthen their proprietary positions with this innovative technology," Ashton said.