News Straits Times Press, 1 August 2006

USM to sign pact with biotech firm this week

By Marina Emmanuel
marinae@nstp.com.my

PENANG's move to pursue biotechnology as an engine of economic growth will be strengthened this week when Universiti Sains Malaysia (USM) inks a deal with an international life sciences company.

The university's commercial arm - Usains Holding Sdn Bhd - will sign a collaboration agreement with Herbalscience Singapore Pte Ltd on Thursday for the following:

* Formulating botanical and natural material extracts for targeted delivery and enhanced biovailability,

* Initial and middle stage proving of botanical and natural material extracts,

* Early stage clinical trials and dose ranging studies, and

* Analytical testing and detection methods and processes for botanical and natural materials.

Usains Holding group managing director Datuk Dr Gan Ee Kiang said the new deal will serve as a "powerful tool" for Penang to lure biotechnology investors.

"This works very well in forming a BioNexus for Penang, by providing essential support to biotechnology companies wanting to invest here," he told Business Times.

The Government's BioNexus project which would help Malaysia compete in the pharmaceutical and biotechnology sector, is a network of centres of excellence comprising firms and institutions specialising in specific biotechnology sub-sectors.

Gan said Usains' team of 50 biotechnology scientists from USM and the private sector had been engaged in biotechnology work over the past five years.

They are grouped into four research clusters comprising drug formulation and delivery systems, molecular biology, clinical trials and immunochemistry.

Around 20 biotechnology products have been commercialised so far while several others are in developmental stage.

"Local companies wishing to engage in product development for pharmaceuticals or nutraceuticals (herbal supplements) will be able to tap into our pool of experts," said Gan.

US-based HerbalScience was set up in Florida in 2001. Its group of herbal supplements are touted to come from cutting-edge biochemistry research and manufacturing techniques which create and patent altered chemical profiles of botanicals (products made from plants, including herbs).