Genomic Health, Inc.
) and ALMAC GROUP Ltd made a joint announcement of Genomic's
licensing agreement for the latter's technology and intellectual
property to develop, validate and eventually commercialize a
multi-gene test. This test will be designed to identify the
benefits from DNA damage-based chemotherapy drugs, such as the
commonly used anthracycline-based regimens, in breast cancer.
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Several chemotherapy drugs are available in the market. One of
them is Anthracycline-based chemotherapy regimens used for the
treatment of different cancers, primarily breast cancer. However,
usage of the Anthracyclines, are accompanied by serious long-term
effects like hair loss, vomiting and heart damage.
Inadequate clinical data has always hampered breast-cancer
treatment decisions. Hence development of a multi gene test was
of utmost priority. Such a test will be particularly useful for
high-risk breast cancer patients who are eligible for
chemotherapy based on their Oncotype DX score.
Developed by Genomic Health, Oncotype DX is a non-invasive
diagnostic test that determines possible chances of recurrence of
breast cancer in women. The test also identifies patients who
need to undergo chemotherapy post surgery and those who do not.
Such vital information allows physicians to administer suitable
treatment at the initial stages, thus enhancing the scope of
Per the agreement, Genomic Health will be responsible for the
identification and validation of the genes previously identified
and published by Almac Group.
According to the partnership, Genomic Health has made an upfront
payment of $9 million, which it expects to reflect as expenses in
the ongoing fourth-quarter 2013. Genomic Health will pay
additional royalties to Almac Group on successful
commercialization of the test.
According to the American Cancer Society, besides skin cancer,
breast cancer is the most commonly occurring cancer among women
in the U.S. Studies demonstrate that it is the second leading
cause of cancer death in women, after lung cancer, with numbers
tolling 39,620 in 2013.
The rising number of cancer patients has prompted the healthcare
industry to make significant investments for the development of
new, effective treatment methodologies to battle this fatal
disease. Genomic Health continues its endeavor in the field, with
partnerships that help use clinical information for better
personalized healthcare administration.
Genomic Health Inc
) carries a Zacks Rank #3 (Hold). While
) hold a Zacks Rank #1 (Strong Buy) and
Myriad Genetics Inc.
) carry a Zacks Rank #2 (Buy).