NEW YORK and QUEBEC CITY, June 29, 2011 /PRNewswire/ — Signal
Genetics, a privately held predictive genetic testing company
focusing on oncology, and DiagnoCure, Inc. (TSX: CUR), a life
sciences company that develops and commercializes high-value cancer
diagnostic tests, today announced a collaboration arrangement
valued at US$13.3M over the first five years. This
collaboration aims to maximize the commercialization of
Previstage™ GCC Colorectal Cancer Staging Test, and further
develop novel genomic cancer tests in the field of Personalized
Medicine.
Under the definitive agreements underlying the collaboration,
Signal Genetics is granted a worldwide exclusive license to the
Previstage™ GCC Colorectal Cancer Staging Test developed by
DiagnoCure, and acquires DiagnoCure’s U.S. CLIA service laboratory.
These two elements of the transaction combined are valued at a
minimum of US$10.8M over five years, broken down into a US$5.7M
upfront payment for the acquisition of DiagnoCure’s U.S.
laboratory, and a minimum of US$5.1M in annual installments and
royalty payments over the first five years of the license
agreement. In addition, Signal will pay DiagnoCure US$2.5M under an
R&D agreement to advance the development of certain genomic
tests being developed in its Quebec-based laboratories. All
payments will be made in cash.
“Previstage™ GCC has been shown to offer key clinical
information to improve colon cancer management and has an estimated
global market potential of over US$400M,” stated Joe Hernandez, CEO
of Signal Genetics. “We are excited to add it to our product
portfolio. With our new subsidiary, CC Health LLC, we plan to
expand our sales force and our marketing partnerships to sell the
test nationwide. Moreover, the R&D agreement provides
Signal and its affiliates access to DiagnoCure’s extensive
experience in developing personalized genomic tests in oncology
that are complementary technologies to the com
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