Gene Pharming Europe and Genzyme Transgenics cross-license key patent rights

Business Wire, Jan 24, 1995

MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)---Jan. 24, 1995--GenPharm International's European affiliate, Gene Pharming Europe B.V., Leiden, The Netherlands, and Genzyme Transgenics Corp. (NASDAQ:GZTC), Framingham, Mass., Tuesday announced that they cross-licensed certain fundamental patent rights.

The cross-licenses are non-exclusive and worldwide, except for the Far East, on which further negotiations are ongoing. Other terms and conditions of the agreement were not disclosed.

As part of the agreement, Gene Pharming Europe received a license to broad patent filings covering the basic process of protein production in the milk of transgenic animals. Genzyme Transgenics, in turn, received a license to U.S. patent 5,304,489 and corresponding filings. This patent covers gene constructs incorporating a casein promoter and certain other elements. Casein promoters are widely used for tissue-specific and high-level production of proteins in the milk of transgenic animals.

"This cross-license arrangement will allow both of us to concentrate on the marketplace without the distraction of patent concerns," said George J.M. Hersbach, president and chief operating officer of Gene Pharming Europe.

Said James A. Geraghty, president and chief executive officer of Genzyme Transgenics: "It will also allow our pharmaceutical and biotechnology partners to have full patent security when they enter into new product development programs with us."

Gene Pharming Europe and Genzyme Transgenics are leaders in protein production using transgenic farm animals. Having pioneered the development of transgenic dairy cattle, Gene Pharming Europe is currently developing human lactoferrin and human lysozyme for treatment or prevention of bacterial gastro-intestinal infection, human collagen for tissue repair applications and human serum albumin for treatment of severe trauma.

Genzyme Transgenics has produced more than a dozen different proteins in the milk of transgenic animals. Its current product development portfolio includes antithrombin III for multiple indications, alpha-1 antitripsin to treat emphysema, and several monoclonal antibodies for the treatment of certain cancers. Forty percent of Genzyme Transgenics is owned by Cambridge, Mass.-based Genzyme Corp.

CONTACT: Gene Pharming Europe B.V.

George Hersbach, 31 (71) 247-400/408

Genzyme Transgenics

Kathleen Rinehart, 617/252-7570