New Skin Assay from Sigma-Aldrich - Analyst Blog

Shutterstock photo

BioReliance, a unit of Sigma-Aldrich Corporation 's ( SIAL ) Fine Chemicals ("SAFC") division, recently announced that it will unveil a novel skin assay geared to detect DNA damage from products with dermal routes of exposure.

The assay dubbed Reconstructed Skin Micronucleus ("RSMN") represents the first commercialized genetic toxicology assay that uses 3D tissue models. The assay leverages the "EpiDerm" 3D skin model, developed by leading tissue engineering firm MatTek Corporation.

Use of these models in predictive toxicology has been growing recently as they do not require animal models, more closely resemble human organs and have been found to be more predictive compared with other in vitro models.

BioReliance has conducted several qualification tests of the ground-breaking RSMN assay using chemicals with defined genotoxicity/carcinogenicity and has developed a robust Good Laboratory Practices (GLP) protocol. The results from these studies have been presented in a number of meetings. BioReliance feels that the assay represents a paradigm shift from legacy genotoxicity testing.

Sigma-Aldrich completed the acquisition of BioReliance In early 2012 for $350 million in cash. The addition of BioReliance's industry-leading QA/QC testing services to the company's product portfolio has enabled it to build better and more customized products. The acquisition has extended Sigma-Aldrich's reach into the promising new market of biologic drugs.

Sigma-Aldrich registered record sales in its SAFC division in second-quarter 2012, boosted by the new facility in Taiwan. The company expects macroeconomic uncertainties to weigh on its larger Research Chemicals segment in the second half of 2012. It has, however, reaffirmed its low double-digit organic growth forecast for SAFC.

Sigma-Aldrich's recent acquisitions (including BioReliance) and expansion initiatives in Asia Pacific and other high growth markets are expected to add to its growth in 2012.

However, the company's research business is expected to continue facing economic challenges due to uncertainties in the U.S. and Europe. Moreover, unfavorable currency exchange translation is expected to drag down its earnings in the remainder of 2012.

Our long-term Neutral recommendation on Sigma-Aldrich is backed by a short-term Zacks #3 Rank (Hold).

SIGMA ALDRICH (SIAL): Free Stock Analysis Report
To read this article on click here.
Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: Investing , Business , Stocks
Referenced Symbols: GLP , SIAL

More from


Equity Research
Follow on:

Research Brokers before you trade

Want to trade FX?

Find a Credit Card

Select a credit card product by:
Select an offer:
Data Provided by