Knowledge Capital

[jrb]

Renovo: Product development on track
By Claire Shoesmith


Renovo, the University of Manchester spinout company developing treatments for scar reduction, said it has continued to expand its cash balances, progressing its clinical and preclinical development portfolio in line with management expectations.

In a stock exchange announcement released ahead of the group’s AGM on February 20, Renovo said there have been no material events or transactions in the period from the start of October through to today that change the company’s outlook.

It said it is on track to report trial results for the use of its flagship product Juvista in both scar revision and breast augmentation surgery in the first half of this year and that phase three trials for Juvista in the European Union are expected to start in the second half of the year as planned.

Renovo said the combination of cash and cash equivalents with term deposits maturing within one year was £93.8m as of the end of December, compared to £100.7m at the end of September. It said the reduction primarily reflects the cash invested in operations, in particular the continued development of the company’s drug portfolio.

“Based on its cash position, management believes Renovo is appropriately funded for continuing ongoing operations.”

Shares in Renovo slipped 1.5 per cent to 136.25p as of lunchtime.

[jrb]

University plans nuclear centre


The University of Manchester is bidding to raise £25m to set up a new Centre for Nuclear Energy Technology (C-NET).

It is designed to meet the industry’s predicted need for more than 9,000 engineering graduates over the next decade.

Nuclear has an ageing workforce at a time when thousands more jobs are expected to be created by a new programme of reactors to meet Britain’s future energy needs.

The reactors will have to be acquired from overseas-owned suppliers after British Nuclear Fuels sold its Westinghouse reactor business, but British energy companies will need to maintain high level skills if they are to operate them safely.

Paul Howarth, research director at the university's Dalton Nuclear Institute, has said that one third of the £25m has already been raised..

The university said the investment in C-NET will total £25m in two phases over the next five years. The first phase of investment will start this year and will see a £16 million investment over three years..

The proposal has been endorsed by the NW Science Council, and funding is now being sought from the Northwest Regional Development Agency (NWDA). The University of Manchester will also be making a substantial investment in the Centre.

It is envisaged that further funding will come from research councils, income generated through the work of researchers and considerable investment from industry..

Regional and private sector investment in C-NET will seed the re-establishment of critical capabilities required to support the nuclear industry and help attract and support nuclear build companies in the region..

The market for new build reactors is estimated to be worth tens of billions of pounds with potential for 70 to 80 per cent delivered within the UK and C-NET will supply a new generation of science, engineering and technology graduates will be required to support this industry..

Jeremy Scudamore, Chair of the NW Science Council said: ''Nuclear is a critical sector for the North West and the Science Council is delighted to support this proposal that will ensure the supply of skills needed for nuclear new build and strengthen further the critical mass of expertise that is located in the North West.”.

The university said C-NET would act as a "beacon" and link in appropriate capabilities and research infrastructure nationally and internationally. In particular, it would collaborate with the other academic strengths in the region and thus help consolidate the NW’s position as an internationally recognised region of excellence in nuclear energy. .

The new Centre, which is expected to start operating during 2008, will be based in Manchester and will link into other regional universities..

David Powell, Westinghouse's Regional Vice-President for the UK said: "The UK Government's recent decision to encourage the construction of a new generation of nuclear plants provides a vital stimulus for the development of nuclear skills and technology..

“It is important that the UK has nuclear expertise of our own so that British industry can capitalise on the huge opportunities which are offered both by new nuclear stations and by the existing programmes of work associated with our current fleet.

"As a key player in the North West's nuclear industry, Westinghouse welcomes the establishment of this Centre, which marks a significant step on the way towards regeneration of the nation's nuclear capability.".

As well as the science and engineering aspects of nuclear power, C-NET will also develop capability in ‘society and sustainability’ aspects, covering important topics such as socio-economics, policy, regulation and public acceptability..

Professor Alan Gilbert, President and Vice Chancellor of The University of Manchester said: “For Manchester, C-NET is key to building a world leading academic capability in nuclear and related research..

“The Centre will not only support UK interests in nuclear energy, but will engage internationally at this critical time for establishing sustainable energy generation technologies.”.

The Dalton Nuclear Institute was launched in July 2005 to act as the engine to drive the co-ordination and growth of Manchester's nuclear expertise base and to become one of the world leading centres of nuclear research and education..

Last year the Institute announced it would be establishing a major £20m nuclear research facility in Cumbria in conjunction with the Nuclear Decommissioning Authority (NDA)..

The institute is already researching nuclear decommissioning techniques for possible use at the Sellafield nuclear plant in Cumbria, based on a new type of decommissioning business model. The process will generate outputs to show things such as schedule, cost, resources required and waste.

[jrb]

Northwest's new multi-£m nuclear technology centre to be based in Manchester



26/02/2008


The University of Manchester's Dalton Nuclear Institute has announced plans to establish a new Centre for Nuclear Energy Technology (C-NET).Following the government's recent announcement on the future of nuclear power, C-NET will develop professionals with the skills to work in the global nuclear industry and will provide access to high-quality, independent academic research.

The investment in C-NET will total £25 million in two phases over the next five years. The first phase of investment will start this year and will see a £16 million investment over three years.

The proposal has been endorsed by the NW Science Council, and funding is now being sought from the Northwest Regional Development Agency (NWDA). The University of Manchester will also be making a substantial investment in the Centre.

It is envisaged that further funding will come from research councils, income generated through the work of researchers and considerable investment from industry.

Regional and private sector investment in C-NET will seed the re-establishment of critical capabilities required to support the nuclear industry and help attract and support nuclear build companies in the region.

While new reactor designs likely to be built in the UK will to come from abroad, it is recognised that the UK will need its own delivery capability.

The new build market is estimated to be worth tens of billions of pounds with potential for 70 to 80 per cent delivered within the UK.

C-NET will supply a new generation of science, engineering and technology graduates will be required to support this industry.

Jeremy Scudamore, Chair of the North West Science Council said: "Nuclear is a critical sector for the Northwest and the Science Council is delighted to support this proposal that will ensure the supply of skills needed for nuclear new build and strengthen further the critical mass of expertise that is located in the Northwest."

C-NET will act as a 'beacon' and link-in appropriate capabilities and research infrastructure nationally and internationally. In particular, it will collaborate with the other academic strengths in the region and thus help consolidate the Northwest's position as an internationally recognised region of excellence in nuclear energy.

The new Centre, which is expected to start operating during 2008, will be based in Manchester and will link into other regional universities.

David Powell, Westinghouse's Regional Vice-President for the UK said: "The UK Government's recent decision to encourage the construction of a new generation of nuclear plants provides a vital stimulus for the development of nuclear skills and technology.

"It is important that the UK has nuclear expertise of our own so that British industry can capitalise on the huge opportunities which are offered both by new nuclear stations and by the existing programmes of work associated with our current fleet.

"As a key player in the Northwest's nuclear industry, Westinghouse welcomes the establishment of this Centre, which marks a significant step on the way towards regeneration of the nation's nuclear capability."

As well as the science and engineering aspects of nuclear power, C-NET will also develop capability in 'society and sustainability' aspects, covering important topics such as socio-economics, policy, regulation and public acceptability.

Professor Alan Gilbert, President and Vice Chancellor of The University of Manchester said: "For Manchester, C-NET is key to building a world leading academic capability in nuclear and related research.

"The Centre will not only support UK interests in nuclear energy, but will engage internationally at this critical time for establishing sustainable energy generation technologies."

The Dalton Nuclear Institute was launched in July 2005 to act as the engine to drive the co-ordination and growth of Manchester's nuclear expertise base and to become one of the world leading centres of nuclear research and education.

Last year the Institute announced it would be establishing a major £20m nuclear research facility in Cumbria in conjunction with the Nuclear Decommissioning Authority (NDA).

Source: University of Manchester press

http://www.dalton.manchester.ac.uk/

[jrb]

Renovo shares fall on trial results
By Claire Shoesmith


Shares in the University of Manchester spinout Renovo fell 9 per cent in late morning trading after revealing that the trial for use of its flagship Juvista product in the reduction of scarring following breast augmentation surgery did not meet its primary endpoint.

However, Renovo said that a separate scar revision trial where Juvista was dosed twice, met its endpoint with statistical significance. As a result, the company said

it now has evidence to show that Juvista has a greater effect on scarring when administered twice.

Mark Ferguson, Renovo’s chief executive, expressed disappointment that the breast augmentation trial didn’t meet its primary endpoint, but said that one of the objectives of the phase two trial was to investigate the most effective dosing strategy for Juvista.

"Cumulatively the trials reported to date indicate that twice dosing yields greater efficacy than once dosing," he said. "This gives us confidence that the large scar reduction market remains accesible with Juvista."

Ferguson said the company will now proceed with the first phase three trial as planned in the second half of the year.

The shares were trading at 60p as on midday.

[jrb]

Digital initiative ‘will deliver 1,000 times faster internet access’


A new initiative has been launched to give Manchester 1,000 times faster internet access and next generation open network broadband.

The Manchester Digital Strategy, backed by Manchester City Council, aims to create a digital masterplan for the city which will guide future investment and develop new ideas for services to benefit local business and the wider community.

The council says its plans to make Manchester a “Next Generation Digital City” are being developed in partnership with universities, colleges, businesses and community groups.

It believes the city is well-placed to attract investment for super-fast broadband and that this will in turn help to create jobs, training opportunities and new services.

The Digital Strategy aims to create a digital masterplan for the city, which will guide future investment and bring together industry, research bodies and community representatives to develop new ideas for services to benefit local business and the wider community.

A report to the city council’s executive proposes that Manchester should take a national lead, establishing the UK’s first ‘fibre to the premises’ (FTTP) open network, which would be complemented by advanced wireless connectivity, building on the experience of the award-winning Eastserve community wireless project in East Manchester.

The proposed network would be developed in phases starting in the Oxford Road Corridor and the Central Manchester Regeneration Partnership area. This will deliver next generation connectivity to residents, businesses and institutions to support job creation, skill development, business growth, transforming public services and digital inclusion. It will then be extended through East Manchester to the rest of the city and support further development in neighbouring districts.

[andysimo123]

1,000 times faster than what? 2mb 10mb 20mb? I would love a 2GB line.

[jrb]

Other Views: 'Fibre to the premises' plans will get Manchester connected


Manchester City Council's proposals to create a digital masterplan for the city have been widely applauded by local industry, but what really stands out are plans for the UK's first “Fibre to the Premises” open network.

Within a short drive of the £150m Beetham Tower are some of the most deprived housing estates in the UK. A quick walk away from the Oxford Road corridor and you enter a world of homeless hostels, council housing and a feeling that you're not in a suitable neighbourhood for a stroll in the early hours of the morning.

One of the effects of this economic contrast is that of access to technology, high-speed broadband in particular.

In the heart of Greenheys on the edge of Hulme is a concentration of internet bandwidth that most locals would find mind-boggling.

Making connections


In the 400m between Oxford Road and the far edge of Manchester Science Park there are at least three data centres holding thousands of servers with the fastest possible connections to the heart of the UK's internet infrastructure. And yet all around Manchester is digital deprivation.

Some of the locals have realised that cheap high-speed bandwidth is useful. Despite its reputation as being a rundown area, one estate through the “Redbricks Intranet Collective” — a network built by locals, for locals, providing low cost Internet access — has arguably one of the highest uptakes of technology in Manchester. I remember the first version of their network, made mostly of ethernet network cables strung between lamp posts.

Many of Manchester's other areas haven't been so resourceful. With low uptake of bandwidth in low-income households, service providers are reluctant to put the infrastructure in place to make access affordable. However, if the infrastructure was there projects like RIC would have shown uptake rises. Ultimately this results in an increase in the education, skills and salaries of the residents in the area. A chicken and egg situation, if ever there was one.

“Fibre to the Premises” would make new services available that are inconceivable with the current generation of broadband. Whilst the initial attraction might be for entertainment services — a demand that local creative firms will be happy to cater for — the hope is that access to advanced information networks will only help Mancunians in the global information economy.

In fact, the stakes couldn't be higher in global terms. If Manchester doesn't take advantage of the large demand for high-speed bandwidth by finding a way to supply the infrastructure, local technology industries and information-hungry residents may find a city better prepared to cater for them.

After a decade of growth and a realisation that we are now at a tipping point of being dominant in the technology sector regionally, nationally and maybe even continentally, Manchester needs to make sure the opportunity isn't wasted.

At least we know where to find some people prepared to string up their own network over lamp posts as a last resort.

[jrb]

Tepnel's 'breakthrough year'

18/ 3/2008

BIOTECHNOLOGY business Tepnel Life Sciences hailed 2007 as a `breakthrough year' as it unveiled profits of more than £2m.

The Manchester-based company saw sales soar 19 per cent from £15m to £17.8m and pre-tax profits from £690,000 to £2.01m.

AIM-listed Tepnel, which is led by chief executive Ben Matzilevich, was spun out of UMIST and produces testing kits for genetic conditions such as cystic fibrosis as well as for food safety researchers seeking to identify traces of nuts, gluten, shellfish and other ingredients which can cause allergic reactions.

Mr Matzilevich said Tepnel had achieved its first year of significant profits following major investment in new facilities, service lines and product development, adding that the company was well placed for future growth after establishing leading positions in niche areas.

Tepnel has sites in Livingston, Scotland, the United States and France as well as Manchester, and employs more than 200 people.

Its shares were unchanged at 9.625p, giving it a market value of £22.15m.

Chairman Alec Craig, of law firm Halliwells, said the business had grown organically by more than 20 per cent a year since 2004 and had made a good start to 2008.

[jrb]

Great news.

£35m research centre for city
Amanda Crook
19/ 3/2008


A £35M medical research centre is to be created in Manchester - making the city an international leader in genetics and stem cell treatment.

The national Biomedical Research Centre (BRC) will be created on Oxford Road by Central Manchester Hospitals which put together a secret bid after missing out on a share of a £50m health bonanza two years ago.

Alan Johnson, Health Secretary said: "The new Biomedical Research Centre in Manchester will strengthen our drive to put the UK at the forefront of vital health research and contribute to the nation's international competitiveness as a major component of our knowledge economy.

"The investment the government is making in this new Centre will also provide a major boost to innovation and economic development in Manchester and the north west."

The centre, which will attract top international scientists, will get £7.5m from the Department of Health over the next four years.

It has also won funding from the North West Development Agency and is expected to win external grants of around £10m a year.

It will be run jointly with Manchester University, and was one of the key regeneration opportunities highlighted by Local Government minister Hazel Blears after the government scrapped the city's supercasino plans.

Hospital chief executive Mike Deegan said: "This momentous decision means we can now embark on the final phase of a massive transformation project. Alongside our £500m investment in new hospital buildings and facilities, the trust and university will be able to deliver world class research that benefits patients both locally and globally.

"We will make sure that the communities which surround the BRC also get additional benefit from jobs and new commercial opportunities." BRC director Prof Philip Baker said: "We've already attracted some of the country's top research talent, and gaining BRC status well and truly puts Manchester on the worldwide research community's map.
"We will join other national BRCs in Oxford, Cambridge and London to create a powerhouse of research - all focused upon improving the way we treat and care for patients."

The centre, which will be in the new `superhospital' development on Oxford Road and will specialise in genetics, tissue injury and repair and experimental treatments for long term conditions like heart disease, learning and development disabilities. It will also focus on complications in pregnancy.

The M.E.N. understands several internationally renowned scientists have already signed contracts agreeing to come to work at the new centre.

It will mean local patients will be the first to benefit from new treatments and could provide a boost to other local hospitals and private research companies across the region.

The original decision in December 2006 when money went to three bids from London, with Cambridge and Oxford was described as a slap in the face for Manchester.

But after protests by the city's leading political figures, the Department of Health invited the team behind the bid to reapply - the only centre invited to take part in this secret second wave.

Central Manchester Hospitals run Manchester Royal Infirmary, St Mary's, Royal Manchester Children's Hospital and Booth Hall Children's Hospital as well as the dental and eye hospitals.

About £20m in government research funding already comes to Manchester, the highest amount outside London.

Prof Alan Gilbert President and Vice Chancellor of Manchester university said: "This announcement recognises the quality of the biomedical research currently being conducted in Manchester and the excellent partnership that has been forged between the university and the trust to undertake world class clinical research.

"BRC status will strengthen the partnership and further establish Manchester as a key centre for the translation of scientific knowledge into improved patient outcomes."

[jrb]

Medical centre will pioneer genetics
Amanda Crook
21/ 3/2008

A NEW £35m medical research centre to be created in Manchester will research ways of predicting problems before birth.

The national Biomedical Research Centre will lead research in genetics, tissue injury and repair plus experimental treatments for heart disease and learning disabilities.

The centre, on Oxford Road, is expected to generate 120 new jobs and attract world-leading scientists to work at Central Manchester Hospitals - meaning local people could have first access to new breakthroughs.

One of the first projects it will fund is midwife Suzanne Moody's bid to develop a test to show which women are likely to develop complications during pregnancy.

Joanna Double, from Withington, who is 20 weeks pregnant said: "I'm very happy to take part in the pregnancy research project. The £35m investment in research is good news for Manchester."

Ms Moody said: "By looking at ultrasound scans and testing blood we can identify whether women may be at risk from pre-eclampsia or pre-term birth, which threatenboth mother and baby.

"The next step is to develop a simple test for all pregnant women, so that those at risk can receive extra monitoring and treatment to help stop these conditions developing.

"It will also mean we can reassure low-risk mums, and make the best use of specialist facilities."

Dr Bill Newman is trying to work out why medicines do not seem to work for some people and why some patients have bad reactions to their medicine.

He said: "Genetic reasons are important in some bad drug reactions and we are looking at this, especially for patients with inflammatory conditions like Crohn's disease and rheumatoid arthritis.

"We hope to develop tests before people start on their medication in the future so that more bad reactions can be avoided."

Other projects include trying to find why more than 400 people under the age of 30 die each year in Britain unexpectedly due to heart rhythm problems.

Bosses of Central Manchester Hospitals and Manchester University put together a secret bid after missing a share of a £50m health bonanza two years ago.

The centre will open next month with £7.4m funding from the Department of Health over the next four years. It has applied for cash from the North West Development Agency and is expected to win external grants of around £10m a year.

BRC Director Prof Philip Baker said: "This is one of the most exciting developments to happen in Manchester for decades. It is very exciting that there is a centre in the north of England, it is going to act as a major focus for research and development.

"The best doctors nurses and ancillary staff will want to work in a centre that is right at the forefront of advances in health.

"The people of Manchester are right at the heart of where advances in techniques and new treatments are being trialled and tested."

Central Manchester Hospitals run Manchester Royal Infirmary, St Mary's, Royal Manchester Children's Hospital and Booth Hall Children's Hospital plus dental and eye hospitals.

[Caiman]

Fantastic indeed... a proper, top spec 'Medical district' emerging up there...

[jrb]

Our doctors ‘so close’ to a cure for meningitis

20/ 3/2008


A DOCTOR leading pioneering work to combat meningitis says his team is close to producing a cure.

Dr Ray Borrow – who lives in Withington – is heading a 30-strong team carrying out tests to produce a vaccine that could signal the end for the killer disease.

He hopes that all children will be vaccinated against the most common and deadly form of meningitis within two years.

Around 180 people are killed by the B strain of the disease every year in the UK, with children under five most at risk.

But tests at the Manchester Royal Infirmary (MRI) are showing that children treated with a new vaccine created by the team are producing more of the antibodies that fight meningitis.

Dr Borrow, 45, and his team at the North West Health Protection Agency, based at the MRI, have already produced a vaccine to combat strain C of the meningococcal meningitis infection.

Now Dr Borrow has revealed that they have also enjoyed a breakthrough in the cultivation of a vaccine against the more common B strain of the meningococcal disease.

Strain B is the most common and deadly strain of the disease, mostly affecting children under the age of five.

It kills one in every ten of the youngsters infected by it each year. Strain B accounts for around 90 per cent of the 1,800 cases of meningitis cases in Britain every year.

Around 15 per cent of those who survive the disease are left with severe disabilities.

Dr Borrow lives on Burlington Road with his partner Lisa Barber and two young children, who are both pupils at St Paul’s Primary. He said: "We’re hoping that the vaccine will be ready in the next couple of years, so that it can be introduced into the childhood immunisation programme to protect against strain B.

"We have been trying to produce a vaccine against the group B strain of the disease for some time now and are delighted with the first signs of success."

He added: "People have been working on producing a vaccine for this strain of the disease for the last couple of decades, so everybody is delighted that things have begun to progress and we are that much closer to producing a vaccine.

"We hope that this will relieve the stress and pressure for many parents as meningitis is always a major worry for people who have children.

"For some, the threat of meningitis really preys on their minds, so this will help to alleviate their concerns."

Scientists at the clinical sciences section of the MRI have been trialling the vaccines in children and then taking blood samples from those who have been injected.

It is from these samples that researchers have been able to work out that the antibodies that have developed in their blood as a result of the vaccine are capable of killing the meningococcal B disease.

The laboratories, have already been recognised as a national meningitis reference centre after researchers tested the vaccine for type C meningitis there.

Early signs of the meningitis infection include fever, nausea, headache, vomiting and muscle pain with cold hands and feet.

A rash can also develop all over the body as part of the disease.

[jrb]

£35m centre may spawn drug pioneers of tomorrow
Blood and tissue samples will be handed over for commercial research
By Claire Shoesmith


New drug research companies similar to Manchester's Renovo and Epistem are expected to grow out of the city's new £35m Biomedical Research Centre (BRC).

David Ray, deputy director of the BRC and professor of medicine and endocrinology at the Central Manchester and Manchester Children's University Hospitals NHS Trust, said the centre, which has just been given the go ahead by the government, will not only help improve patients' health but also boost drug development and encourage the creation of new biotechnology companies in the region.

“In the past we have focused too much on service provision and research has taken a back seat,” said Ray. “Now we are making research an integral part of the trust's operation.”

The decision to locate the centre in Manchester follows the city's failure to win financial support for a similar scheme back in December 2006 when funding was given to London, Cambridge and Oxford. Earlier this month the award was announced by health secretary Alan Johnson, who said the investment would provide a major boost to innovation and economic development in Manchester and the North West.

The BRC, a collaboration between Manchester University and the Central Manchester Hospitals, will focus on translational research, which will take advances in basic medical research out of the laboratory and into the hospital clinic, meaning that patients will benefit more quickly from new scientific breakthroughs. It will also specialise in genetic and developmental medicine and tissue and injury repair using the creation of stem cells.

Big pharma


The trust already operates a clinical research facility, which has handled more than 70,000 patient visits and researched 20 different categories since it was set up six years ago. Ray said the creation of the BRC, which will in the future coordinate all research at the university and the trust, will increase the patient count fivefold. He also said the trust was already working with companies such as Renovo and Epistem, both university spinouts that are now listed on the London Stock Exchange, and would be keen to work with any other newcomers, as well as developing collaborative ventures with large pharmaceutical companies like Astrazeneca and GlaxoSmithkline.

“There is an advantage for these big pharma companies who see us as a one-stop shop,” said Ray, adding that they will be able to obtain tissue and blood samples for drug testing from the BRC. Over the course of the four-year funding period, the BRC hopes to hire between four and eight new high level clinicians and has already made 40 lower level appointments in the last 18 months. In total it plans to create 100 new jobs, about 60-70 of which will be highly educated scientists and clinicians. Ray said the new clinicians will in turn generate their own research grants, which in the long run will pay their own wages.

Of the £35m four-year funding programme, about £7.5m will come from the Department of Health, £5m from the NWDA, £3m from the city council and the remainder from the trust, the university and other donors. In 2012 the trust will have to compete for new funds.

[jrb]

Hunting the next blockbuster
Kevin Feddy
1/ 4/2008


THE world's pharmaceutical giants are vying to discover the next global blockbuster and bosses of Manchester's Epistem are hoping they will have a big say in who wins the race.

Chief executive Matthew Walls believes the AIM-listed minnow could be transformed over the next 18 months as Epistem's scientists seek to develop treatments to prevent the production of cancerous cells.

He is pinning hopes on Epistem's `novel therapies' division, which is spearheaded by Dr Gerard Brady. Under his leadership, the company has identified hundreds of genes which regulate cell growth by producing certain types of proteins.

It is now focusing on four of these in particular, and hopes to strike up a deal with a big pharmaceutical firm which will take over research and development, leaving Epistem to concentrate on testing.

"This is the future for the company. We are very excited, it will be a massive step for us," says 44-year-old Mr Walls, who led Epistem to the stock market.

Healthy

The shares listed at 124p and currently trade at 157.5p, a healthy 27 per cent gain during a volatile period for the sector's quoted stocks.

"It's been a tough time for the biotechnology and pharmaceutical industry, particularly as there have been fewer and fewer blockbusters that power the industry forward. Everyone is watching for the next generation of drugs that meet unmet medical need, which is what we are striving to achieve," says the married father-of-five.

"I think there are signals that the industry is coming back - Warren Buffett recently took a stake in GlaxoSmithKline - and I think our time will come at Epistem.

"We are very confident, as we are doing something that no one else does."

Research analysts at Edison agree - they believe Epistem's shares could climb to 215p if it enjoys success with its `novel therapies', which would value the business at £16m. Acquisitions to speed up progress for this division are not ruled out.

Alongside its `novel therapies' is Epistem's contract research services division, which is expected to generate revenues of £2m this financial year.

Development

Epistem tests drugs under development by pharmaceutical companies such as GSK, AstraZeneca and Johnson & Johnson for cancer, gastrointestinal illnesses such as Crohn's and colitis, and skin diseases. It is also testing products on behalf of the US government for treating people in the aftermath of a radioactive attack.

The division is profitable but Edison says sales for this type of business can be `lumpy' and this is recognised by Epistem as it seeks to diversify.

A third strand to the business is its award-winning `biomarkers' technology, for which it raised £1.1m in a shares placing last November.

Epistem uses the cells at the base of a single strand of human hair to analyse the way genes behave when drugs are administered, and this is attracting strong interest from pharmaceutical giants. Edison says sales of Epistem's biomarkers could reach £4m by 2012, not far below the anticipated revenues from its contract services divisions.

The biomarkers business could be a candidate for a spin-off, but it is still early days.

Although still loss-making, Epistem could be in the black within 18 months - ahead of schedule - and has £2.6m in cash to fund its progress.

It was spun out of the Christie Hospital's Paterson Institute in 2000, where founders Prof Chris Potten and Dr Catherine Booth were involved in stem cell research and testing.

The duo are still heavily involved - Prof Potten, 66, as chief scientific adviser and Dr Booth, 42, as head of contract services. They remain significant shareholders with a combined stake of around 30pc. Other big investors include institutions, private equity grandee Jon Moulton and Urban Splash boss Tom Bloxham.

Mr Walls, an engineer's son who grew up in Prescot on Merseyside, worked in managerial roles companies including AEA Technology, ICI and Zeneca in the north west, before taking up a succession of chief executive posts and finally achieving his dream of bringing one to the stock market when Epistem floated a year ago this month.

[jrb]

Scientists at the University of Manchester have discovered a new technique for turning embryonic stem cells into insulin-producing pancreatic tissue in what could prove a significant breakthrough in the quest to find new treatments for diabetes. In conjunction with scientists at the University of Sheffield, the team has succeeded in genetically manipulating stem cells. It is believed that transplanting functional beta cells — those that produce the hormone insulin to regulate the blood glucose levels — into patients offers the best hope for finding a cure for type-1 diabetes. It could also offer hope to those with type-2 diabetes whose condition requires insulin injections.

[jrb]

From Crain's.

University launches new service for drug companies
By Claire Shoesmith


The University of Manchester Incubator Company (UMIC) has launched Discovery2Medicine, a new commercial service for biotech and life science companies seeking to proceed with their next drug breakthrough.

Discovery2Medicine offers specialist consultancy and brokerage services across the UK for life sciences companies that don't have the resources or know-how to proceed with their plans on their own.

“It now takes anything up to 10 years and upwards of $800m to take a drug through the process of discovery to the clinic and patient,” said Martino Picardo, general manager of UMIC. “Already both ends of the process present problems with not enough new drug candidates and consequently an insufficient number of new drugs coming to market.”

High risk


According to research by UMIC, life sciences companies contribute an estimated £2.8bn to the North West's trade balance, but many of the smaller firms struggle to access venture capital or development funds because of the high risk nature of early stage discovery. “We have helped companies in a number of different therapeutic areas including oncology, cardiovascular and inflammation, as well as neurological disorders,” said Picardo, referring to the scheme's trail phase, which was part-funded by the European Regional Development Fund.

“We've also assisted companies involved in different stages of the drug discovery process — from early stage research to pre-clinical assessment, safety and toxicology-related studies.”

Ken Douglas, professor of medicinal chemistry and scientific coordinator of Discovery2Medicine, said about 50 companies have used the services of Discovery2Medicine under its previous guise. In the future he said he expects demand for the group's services to come from all over the UK and in the long run from as far a field as the US.

“It's okay if you are an Astrazeneca or another large pharmaceutical company, but if you're just starting out this can be a very difficult time,” he said.

[jrb]

Scientists at the University of Manchester have discovered a new technique for turning embryonic stem cells into insulin-producing pancreatic tissue in what could prove a significant breakthrough in the quest to find new treatments for diabetes. In conjunction with scientists at the University of Sheffield, the team has succeeded in genetically manipulating stem cells. It is believed that transplanting functional beta cells — those that produce the hormone insulin to regulate the blood glucose levels — into patients offers the best hope for finding a cure for type-1 diabetes. It could also offer hope to those with type-2 diabetes whose condition requires insulin injections.

[jrb]

Spin-off may fetch £1m
Ben Rooth
15/ 4/2008

A TECHNOLOGY company which began life in the laboratories of Manchester University and Manchester Metropolitan University could be on the brink of a £1m sale to a larger rival.

Microarray was founded in 1999 to develop ultra-sensitive electrochemical sensors which can be used to assess water quality, medical complaints and environmental conditions.

Sedgefield-based Analytical NanoTechnologies (Antnano) has now obtained a licence to use Microarray's technology.

Antnano has also secured the option to buy the company for £1m if it is successfully floated on AIM before the end of June.

Dr Adrian Mather, Microarray's chairman, said that the company is a great success story for Manchester's universities.

"The company was founded in 1999 by Professor Seamus Higson to develop and supply high-performance electrical sensors," he said.

"The technology that has been developed there is now good enough to go on to the market, and that is testament to the skill and commitment of the people who have worked on the product. If the company is ultimately sold for £1m, then the money will be used to fund two other companies - Advanced Hall Sensors and Gentronix - also established by Manchester University."

Professor Higson, now Cranfield University in Bedfordshire, remains Microarray's chief executive. Antnano intends to use the license for Microarray's technology to detect infectious diseases such as MRSA and avian flu, as well as the presence of explosives.

[Irwell]

I think the University needs a slight change of tack. It's great that these companies are considered valuable assets that others want, but in the process we end up losing important knowledge economy employers from our area, many of whom ship the jobs elsewhere and simply keep the research. How much better would it be if the University retained control of these companies under an umbrella company, skimmed of profits to develop the University but retained valuable employers in the area who could work with the University more closely to provide both research and employment opportunities within a stones throw of the campus.

Retaining these companies would benefit both the University and the city as a whole. Just look at Google, based a short distance from Stanford where the company began. Stanford made a fortune out of it, they still control the patents to it's technology and Google offers many opportunities to Stanford graduates. They've also had a massive economic effect on Santa Clara county as a whole.

[skit_uk]

Originally Posted by Irwell

I think the University needs a slight change of tack. It's great that these companies are considered valuable assets that others want, but in the process we end up losing important knowledge economy employers from our area, many of whom ship the jobs elsewhere and simply keep the research. How much better would it be if the University retained control of these companies under an umbrella company, skimmed of profits to develop the University but retained valuable employers in the area who could work with the University more closely to provide both research and employment opportunities within a stones throw of the campus.

Retaining these companies would benefit both the University and the city as a whole. Just look at Google, based a short distance from Stanford where the company began. Stanford made a fortune out of it, they still control the patents to it's technology and Google offers many opportunities to Stanford graduates. They've also had a massive economic effect on Santa Clara county as a whole.

The only problem with that though is this was quite a specific invention which i can't imagine being the foundation of a company on it's own. It seems to be a specific type of sensing device that i would imagine can only really be sucessfully marketed by a fully fledged sensor company.

Your right what your saying though but an incubator center where university ideas are developed and sold to the right companies is better than just letting the ideas be developed else where and we gain nothing.

I reckon the only way an entire company can be set up by the university would be if a stand alone invention was made or if the university focused on developing a specific range of ideas. For example internet tools (i.e. stanford)