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UPDATE: NeoGenesis in Drug-Discovery Deal With Schering-Plough

NEW YORK, Aug. 6 – NeoGenesis and Schering-Plough Corporation have partnered to discover small-molecule drug leads, the companies announced on Monday.

Under the deal, NeoGenesis will employ its Automated Ligand Identification System (ALIS) and its neoMorph compound library to help Schering-Plough discover a range of antiviral candidates. In exchange, the drug giant will outlay research and development funding as well as an undisclosed equity investment in NeoGenesis.

The deal, which may run for five years, also provides NeoGenesis license fees and payments for clinical or regulatory milestones. It was not clear what those milestones are, and representatives from the Cambridge, Mass.-based company were not immediately available for comment.

“We are very pleased to enter this collaboration with Schering-Plough,” Satish Jindal, president and CSO of NeoGenesis, said in a statement. He expects the partnership to yield “high-quality leads” to “a variety” of Schering targets. 

The company plans to announce a similar collaboration with the pharmaceutical division of Mitsubishi next week.

In June, NeoGenesis and UK-based biotechnology company Oxford Glycosciences entered into a similar partnership.  

Under that deal, OGS, of Oxford, provided an undisclosed number of protein targets to NeoGenesis as well as pay NeoGenesis research fees, milestone payments, and royalties for any lead compounds. 

OGS, which will commercialize these compounds, also made an undisclosed equity investment in NeoGenesis.   

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