Drug delivery specialist Oxford Pharmascience (LON:OXP) has extended and deepened its collaboration with the University College London (UCL) and the university's well-regarded Phloral technology.
The new agreement gives Oxford Pharma an option over a further 53 compounds that it could commercialise using the university’s know-how.
The company is already working with UCL on re-formulations of generic statins Atorvastatin and Simvastatin to reduce their side effects, and the new deal will see Oxford Pharma get first pick of a different batch of compounds.
“It’s the same technology that we’re licensing,” Nigel Theobald, Oxford Pharma’s chief executive, explained to Proactive Investors. That technology is a more effective drug delivery system that, in essence, achieves the same effect as regular drugs but with smaller dosages.
“There are lots of other drugs out there where there are side-effects caused from metabolism in the Cy [Cytochrome] P450 system,” he added. Cy-P450 enzymes are essential for the metabolism of many medications.
The new deal gives Oxford Pharma until March next year to investigate the potential for the 53 compounds with an option to work for another year on those that have the best commercial and clinical potential.
In fact, the company has already been doing some preliminary work on the testing, indicating that the relationship between UCL and Oxford Pharma is a healthy and potentially productive one.
Speaking about the compounds, Theobald said: “Some of them could have a very strong commercial need, and a very strong clinical need, and could work very well with our technology. All three of those things we are investigating.”
Theobald said that Oxford Pharma and UCL have yet to agree on the terms of any licensing arrangement that arises from the new deal have, but they are likely to be similar to the terms already agreed for statins.
“We’re just pushing on and trying to get the greatest commercial opportunities out of it [the relationship]. They’re delighted, and we’re delighted. It’s a good win-win,” Theobald said.
Just as importantly, the deal closes the door to any competitor that might have been interested in getting a look at these compounds.
“Having already told the world how to do it, we want to make sure that people don’t try to get in ahead of us,” the Oxford Pharma chief executive said.
It is classic Oxford Pharmascience procedure, exploring and developing better options of existing drugs.
“All of the compounds are on the market. A good chunk of them are already generic, and some are coming off-patent very soon,” Theobald revealed.
"Our focus on reformulating existing medicines to make them safer and easier to take is now gathering strong momentum with our programmes for NSAIDs (non-steroidal anti-inflammatory drugs) and statins.
“There are many other drugs widely used where side effects reduce the tolerance or compliance in patients.
“This option allows us to explore a range of potential drug candidates which fit with this strategy without taking our eyes off the existing programmes.”
Theobald was keen to emphasise that last point about the new deal not being a distraction to the company’s existing work programmes.
“The redevelopment work that we do will be quick and it will be relatively cheap,” Theobald said.
Shares in Oxford Pharmascience were up 1.8% at 3.74p in lunch-time trading.