Peptech and EvoGenix merge

Shareholders in Sydney-based biotech EvoGenix have voted in favour of a merger with Peptech to form what the senior company hopes will become an "antibody powerhouse".

Under the deal, first announced in May, Peptech will acquire 100 per cent of EvoGenix issued shares.

The merged company, which is yet to be renamed, will focus on developing antibody/protein-based products in the areas of inflammatory diseases, bone disease and cancer, a Peptech spokesperson said in a statement.

Peptech's current CEO, Dr John Chiplin, will become chief of the new entity, with EvoGenix's CEO, Dr Merilyn Sleigh, taking a senior advisory role. The present companies' boards will also see a few changes.

The merged company will have in excess of $167 million in cash, the statement said. It will also receive revenue from licensing deals with pharmaceutical giants Abbott and Johnson & Johnson for the anti-inflammatory drugs Humira and Remicade.

Peptech entered Phase I human clinical trials for its anti-toll-like receptor compound PN0621 in May. It is aimed at multiple inflammatory diseases such as rheumatoid arthritis and Crohn's disease.

It is also developing C5aR antagonists for inflammatory diseases, including the wet form of age-related macular degeneration (AMD) and two monoclonal antibodies - acquired from the UK's Scancell last year - for gastrointestinal tumours.

EvoGenix owns several antibody/protein optimisation platforms, including its Superhumanisation technology, a method of converting a mouse antibody into a humanised form, thus negating immune reactions.