synthetic phylomer libraries, page-8

Hi Wayne,

Earlier today you wrote:

One question to ask is what do we currently know about biotech companies with synergistic technology.

and...

The announcement discusses the opportunities created by the synergistic technologies including "significant new revenue opportunities".

Not sure if you saw the announcement today by PeptiDream:

Ipsen and PeptiDream agree peptide research collaboration

I couldn't recall where I saw the term macrocyclic peptides but with a little digging around noted it was highlighted in the recent Edison Report.

From the little research I've done on the company today, it appears that Peptidream is a real competitor in the peptide field, but may also be synergistic with Phylogica. Peptidream's expertise is in small macrocyclic peptides. Phylogica are seeking to add 'large' macrocyclic peptides to their armoury. I wonder whether Phylogica know the folks at Peptidream. They are planning an IPO in Tokyo. They are not much different to Phylogica in staff numbers, deal sizes and stage of development.

Taken from the Edison Report:

Macrocycles riding high

Phylogica has a broad array of peptides, including literally billions of protein fragments that are encoded by the genes of highly diverse microbes. These fragments are varied and include macrocycles (and similarly constrained peptides), which consist of peptides with a stabilising structure. Such peptides are increasingly of interest to the drug industry as a potential source of innovative molecules that could address new drug targets. Historically two classes of molecules have dominated drug discovery efforts: small molecules still form the majority of the pharmaceuticals currently available; with biological macromolecules (mainly monoclonal antibodies) coming to the forefront in recent decades. Small molecules are typically less than 500Da1 in size and biologicals normally start at around 5,000Da, with macrocyclics falling between the two with ranges from 500Da to 2,000Da. The monoclonal antibodies offer a high affinity and specificity towards the target, with a greater degree of clinical predictivity that tends towards higher developmental success rates. However, their size limits their utility to mainly extra-cellular targets and the complexity tends to result in higher production costs.

In contrast, although associated with higher attrition rates in clinical trials, small molecules are able to penetrate cells and, with chemical synthesis, can be produced cheaply in large quantities. The pharmacological appeal of such stable peptides is the prospect of the cell permeability and oral bioavailability of small molecules coupled with the potency and selectivity of biologicals (such as monoclonal antibodies). In particular, they could target the protein-protein interactions that occur within cells and so open up the potential to address a wide range of new discovery opportunities that are currently beyond reach. Most of the 40 or so existing macrocycle drugs are naturally occurring or very close analogues of natural molecules, with cyclosporine probably the best characterised. Interest in macrocycles has increased as a result of new approaches that have allowed the faster evaluation and screening for possible drug-like characteristics. There are at least 12 companies working on macrocycles (with half formed in the past five years), with 27 discovery partnerships that are known.

Taken from recent announcement:

“As a result, Phylogica has caught the attention of companies wanting to access our next generation peptide drug discovery capabilities, but also companies that are interested in additional uses of the platform,” added Dr Watt.

and...

“The Phylomer platform is a world-changing technology that should fulfil the emerging demand for discovering breakthrough peptides. We look forward to exploring the variety of strategic options that could significantly build shareholder value including: broad therapeutic discovery alliances; partnerships spanning other applications of the platform such as animal health, agriculture and industrial; and, strategic opportunities with companies with synergistic technology.”

Let's not forget Morphosys, Evotec and Aileron. They'd be definitely part of the mix.

You may also want to have a read of this excellent article titled: 

Excited about cycling - Maturing macrocycle chemistry drives explosion of biotech newcos, biopharma deals

PeptiDream is featured amongst other companies and Phylogica is briefly mentioned:

Pepscan CTO Peter Timmerman told BioCentury his company is seeking co-discovery partnerships to apply its technology to specific targets nominated by the partner. Partners include Johnson & Johnson, Phylogica Ltd., Zealand and Alvos Therapeutics Inc. (now part of Arrowhead Research Corp.).

Regards,
Tony