Tag Archives: biotech

spin-off start-ups

Top 25 insights: spin-off start-ups

Seven leaders of the Top 25 Science Meets Business R&D spin-off companies answer the question: What insights can you share with other R&D spin-off start-ups in Australia?


CATAPULT GROUP INTERNATIONAL LTD

Fill a market need and lead that market; don’t fill a product gap and complicate your market with a technology push.

It doesn’t matter how technical your product or service is, it needs to be easily explained and have a story that resonates for it to be successful in any market, let alone overseas markets.

Shaun_intext

– Shaun Holthouse, Chief Executive Officer


SMARTCAP TECHNOLOGIES PTY LTD

A few words of wisdom.

1. Make sure there is a viable, readily accessible market that is sufficiently large to support a spin-off company.

2. The actual invention is only the trigger to start a company – you are establishing a company that will need to innovate on an ongoing basis if it wants to be successful. Make sure that innovation capability and desire exists and thrives in the spin-off.

3. Identify competent board and management capability to direct the business and generate revenue for the company. Most often the management capability is not the same people who carried out the research, but sometimes it can be. Without the right people running the show, the spin-off will not be successful. 

4. Make sure you have sufficient funding available to get the company through to a viable revenue stream, and ideally flexible funding arrangements. Unexpected things will happen and you need capability to accommodate those changes.

– Kevin Greenwood, Chief Operating Officer


PHARMAXIS LTD

“Most start-ups are focused on development plans that contain binary events and marginal financing. This makes them vulnerable to unforeseen delays and additional development steps that require additional funding.

I believe that we should be looking to generate portfolios of innovation under experienced management teams that give our projects the best chance of success – and adequate funding to reach proof of concept in whatever market we are targeting – but at the same time help to spread risk.

venture capital

– Gary J Phillips, Chief Executive Officer


ACRUX DDS PTY LTD

“Ensuring a strong board, CEO, and a quality management team will be critical to success. The availability of funds for programs is an often-discussed barrier to rapid progress. Underfunded companies and poorly thought-out product concepts or technologies are more likely to fail early.

Michael Kotsanis_intext

– Michael Kotsanis, Chief Executive Officer


SPINIFEX PHARAMCEUTICALS PTY LTD

“1. For biotechnology R&D spin-off start-ups in Australia, major hurdles are the dearth of seed capital as well as access to large follow-on venture funds that are needed to build successful biotechnology companies.

2. There is a mismatch between the 10-year life span of a venture capital fund in Australia and the 15+ years needed to translate research findings into a novel drug or biologic product for improving human health. 

3. Hence, these systemic issues are major impediments to building successful biotechnology companies in Australia and these issues need to be addressed.”

– Professor Maree Smith, Executive Director of the Centre for Integrated Preclinical Drug Development and Head of the Pain Research Group at The University of Queensland


ADMEDUS

Start-up companies may consider moving overseas, especially if the Government stops or reduces the R&D tax rebates and doesn’t establish some innovation stimulus packages.

venture capital

– Dr Julian Chick, Chief Operating Officer


REDFLOW

Nothing ever goes 100% smoothly – perseverance is a prerequisite.

Stuart Smith_intext

– Stuart Smith, Chief Executive Officer

Click here to see the full list of Top 25 Science Meets Business R&D spin-off companies, or for further insights from the Top 25 leaders, read their interviews on attracting venture capital, learning from overseas marketsgetting past the valley of death and overcoming major start-up challenges.

CtX forges $730 m deal for new cancer drug

The new cancer drug, which was developed with support from the UK-based Wellcome Trust and Cancer Research Technology (CRT), has potential clinical applications in both cancer and hemoglobinopathies (non-cancer blood disorders).

According to Dr Tom Peat from CSIRO, one of the key research partners in CTx, the new cancer drug is designed to inhibit the protein PRMT5, which is associated with a range of cancers, including mantle cell lymphoma, lung cancer, breast cancer and colorectal cancer.

“Patients who have these types of cancers often have high levels of this protein, which is unfortunately also linked to poor survival rates,” Peat said.

“Using our recombinant protein production facilities, we were able to produce samples of these proteins, crystallise them for structure based drug design and support the consortium’s pre-commercial investigations and trials.

“Access to high quality protein is absolutely critical in structural biology approaches to drug discovery, and CSIRO is pleased to be able to contribute this key capability.

“The CTx consortium was able to develop a drug that binds to this protein, allowing it to target the cancerous cells.

“We’re thrilled to be part of this development, which has the potential to make a real difference for patients here in Australia and around the globe.”

Under the terms of the license, Merck US will now further develop the new cancer drug, taking it to clinical trials, with a view to worldwide commercialisation.

Science commercialisation success

“This is a great result for Australian science and further demonstrates what can be achieved when science and commercialisation capabilities unite,” CTx chief executive Dr Warwick Tong said.

In addition to applications for cancer, PRMT5 inhibitors switch on important genes in the development of blood.

This could provide disease-modifying treatment options for patients with blood disorders like sickle cell disease and beta thalassemia.

The deal provides potentially significant financial returns, which will be shared between CRT, CTx and the Wellcome Trust, with the majority being returned to CTx and its Australian research partners including CSIRO, Monash University, Peter MacCallum Cancer Centre and the Walter and Eliza Hall Institute.

 

This article was originally published by CSIRO.