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Quest to Use Orchid s Technology in Diagnostic Tests

NEW YORK, Dec. 14 – Orchid BioSciences said Friday it had granted Quest Diagnostics a non-exclusive license to use its SNP-IT technology in its diagnostic tests.

This deal marks the first time Orchid’s technology has been licensed for use in diagnostics.

Under the terms of the deal, Orchid of Princeton, NJ, received an upfront payment of an undisclosed amount and will also be entitled to royalties for diagnostic services Quest provides using Orchid’s technology.

Quest of Teterboro, NJ, has gained access to the SNP-IT technology through a deal with Applied Biosystems for its SNAPshot reagent kits. Orchid’s SNP-IT technology is embedded in the reagent kits, which Applied Biosystems markets. 

However, SNAPshot users aiming to provide commercial genotyping services must obtain an additional license from Orchid. 

"We are leveraging our initial propagation partnership with Applied Biosystems, which provides Orchid with an ongoing royalty stream on sales of SNAPshot kits, to establish a beachhead for our market leading SNP-IT technology in the critical clinical diagnostics services arena,” Russell Granzow, vice president of corporate development and strategy at Orchid, said in a statement.

Granzow noted that he expected to pen similar deals in the future.

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