NEW YORK (GenomeWeb News) – Glycoprotein analysis firm Procognia has signed a binding memorandum of understanding which grants Euro-Diagnostica and its service laboratory Wieslab an exclusive service license to provide diagnostic services for gastric cancer.
In return, ED is paying Procognia a one-time payment, a transfer price for each diagnostic kit, and royalties. Further financial details were not disclosed.
The services being offered are based on capabilities developed by Procognia and will be provided as an in vitro diagnostic multivariate index assay in regions where ED currently operates, Scandinavia and Benelux. Other areas that ED plans on expanding into include Germany, Austria, Switzerland, and the UK. Under the terms of the MOU, ED has the option to provide services covered by the agreement in countries that ED expands into if Procognia has not contracted with another company to provide those services.
Procognia, based in Tel Aviv, Israel, also said that it and ED/Wieslab will conduct a multi-center study to seek regulatory approval in Europe for Procognia's diagnostic kit. If approval is granted, ED/Wieslab will have the first right of refusal to sell and distribute the kits outside the laboratories agreed upon in the MOU.
In a statement, Alon Natanson, president and CEO of Procognia, said the deal with ED "will manifest itself in rapid market penetration and broader market adoption of Procognia's diagnostic technology."
Procognia specializes in developing tools for glycoanalysis based on its Glycoscope and Qproteome platforms.