Peptech to advance anti-TNF drug after preclinical study

Peptech (ASX:PTD) has claimed "significant" results in a preclinical study of its human domain antibody (dAb) therapeutic -- potency levels three times higher than the current market-leading anti-TNF drug against rheumatoid arthritis.

Peptech's domain antibody against tumour necrosis factor alpha (TNF) -- used for the treatment of multiple inflammatory diseases such as rheumatoid arthritis and Crohn's disease -- successfully suppressed disease development, the company said.

R&D director Dr Phil Jennings said the study gave Peptech confidence that the drug could be commercialised, and had potential to become one of the next generation in anti-inflammatory treatments.

"Our focus is on continuing to advance the preclinical development of the anti-TNF dAb, with an expectation of reaching the clinic in 2007," he said in a statement.

The study was completed under a research agreement between Peptech and UK company Domantis, in which Peptech has a 36.1 per cent stake. Peptech said it had since further engineered the dAb based protein to enhance its characteristics as a human therapeutic.

Peptech's executive chairman, Mel Bridges, said therapeutic biologicals represented a major commercial opportunity, with the company's anti-TNF dAb targeted at a market with 2004 product sales of more than $US6 billion.

"We hold a very strong intellectual property position in anti-TNFs, and are in the enviable position of receiving ongoing strong revenue streams from our existing TNF licence agreements with Abbott and Centocor," Bridges said. "Peptech has never been better positioned."