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Applied DNA Sciences subsidiary LineaRx, along with Takis and Evvivax, has engaged in a new development agreement.
Applied DNA Sciences (NASDAQ:APDN) subsidiary LineaRx has engaged in a new development agreement with Takis and Evviva, the company announced on Thursday (September 20).
The partnership will allow the companies to focus on developing anti-cancer vaccine candidates from Takis and Evvivax’s pipeline using LineaRx’s linear DNA technology.
This partnership is promising as these companies have worked on another collaboration together previously on the premises of research and development for two animal vaccines.
This market of DNA-based human vaccines provides an increasingly innovative perspective for biotech investors as the market is expected to grow at a compound annual growth rate (CAGR) of 55 percent from 2013 to reach US$2.7 billion by 2019, according to BCC Research.
“Initial data from the use of LineaRx’s amplicons in our vaccine candidates is promising,” Dr. Luigi Aurisicchio, CEO of Takis and Evvivax, said in the press release. “The advantages of linear DNA over plasmids would provide a clear market edge over plasmid-based DNA sources.”
Dr. James Hayward, CEO of Applied DNA, shared similar sentiments about the agreement between the parties and emphasized the importance of LineaRx’s technology in the field of biotherapeutics when treating chronic diseases.
“Takis/Evvivax are ideal partners of LineaRx given their innovative anti-cancer vaccine candidates for both humans and animals together with their expertise in preclinical animal models,” Hayward said.
LineaRx is well-versed on manufacturing and chemically modifying DNA with large scale polymerase chain reaction (PCR). Hayward said producing linear DNA in this method versus plasmids increases patient safety, vaccine logistics and reduces costs.
Linear DNA is a variation of DNA.Unlike the circular kind, it has two ends whereas the circular type coils and has a closed loop instead of ends. The linear DNA is the most commonly found and grown in bacteria.
Takis and Evvivax are both Italian-based biotechnology companies which are products of a research center in Rome supported by Merck (NYSE:MRK). Although they are different companies, Evvivax was created from Takis. The two work together closely and work with other Big Pharmas.
Both companies focus on oncology therapeutics, however Evvivax has a greater interest on pets with cancer whereas Takis is focusing on therapeutics for humans.
Applied DNA has a more diversified set of interests, including textiles and apparel, government, military and more. Though LineaRx is just one vein of the company, it’s using Applied DNA LineaRx’s focus of PCR processing DNA to develop therapeutics, while dealing with the challenges of not interrupting the humans own DNA.
Investor takeaway
Over the trading period, Applied DNA’s share price had nearly a 20 percent share price increase to US$1.39 as of market close on Thursday.
According to TipRanks, Maxim Group analyst Anthony Vendetti released a note to investors reiterating his “Buy” position on the company with a US$3 price target.
With this additional collaboration between these companies, investors can follow the news from each respective company for updates on this partnership along with the possibility of new research endeavors.
Don’t forget to follow @INN_LifeScience for real-time updates!
Securities Disclosure: I, Gabrielle Lakusta, hold no direct investment interest in any company mentioned in this article.