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Epigenomics and Biopsytec cross-license revolutionary genetic based technologies
Date:  Thursday, 25.04.2002
Press release, Berlin

Epigenomics AG and Biopsytec Holding AG, two biotech companies headquartered in Berlin, Germany, announced today a cross-licensing agreement involving revolutionary technologies for genetic analysis. Under the terms of the agreement, Epigenomics gains exclusive rights for use in pharmaceutical research and diagnostics of the Biopsytec Identification of Linkage Disequilibrium (ILD) technology. In return, Biopsytec gains the exclusive rights for the use of Epigenomics’ DNA-methylation (epigenetic) technologies in agricultural research.

ILD technology, which uses similar principles to those of Genomic Mismatch Scanning (GMS), enables the detection of disease-associated gene fragments or markers (SNPs) using only a small population sample. The detection of these genetic variations using other techniques usually requires comparisons of DNA from much larger numbers of well-characterized patient samples.

The epigenetic technologies developed by Epigenomics provide a tool which can read and analyse the changes in DNA that govern gene activity in a virtual digital format. This is achieved by converting the presence or absence of a methylation group attached to the DNA molecule into a binary signal.

"Epigenomics and Biopsytec are now the only companies in their respective markets who are able to offer a tool that integrates the two fundamental cellular control mechanisms, genetic and epigenetic, on the same platform," stated Dr. Alexander Olek, CEO of Epigenomics. "For Epigenomics, the ability to pinpoint the genetic differences between patients and how each person responds to drug treatment in such a comprehensive, cost effective and time efficient manner is a significant asset in advancing our clinical pharmocogenomics business strategy."

Arno Heuermann, CEO of Biopsytec, added: \"With Biopsytec being an agricultural specialist and Epigenomics focusing exclusively on human health care, this agreement is a perfect fit. Each company provides the other with the complementary technologies that enable a comprehensive and unique approach to the two very different markets."

Biopsytec has perfected the ILD process to such an extent that it can now be used as a diagnostic tool. The process compares individual genotypes and can identify those areas of the genome which are "identical-by-descent". These are the regions that contain the genetic variation (SNPs or mutations), which cause disease or lead to an adverse reaction to specific drugs. Current methods of genetic analysis require very large and well characterized patient populations to be scanned for specific genetic variations associated with interesting phenotypes, one of the major bottlenecks in genetic research. ILD has the unique advantage that it is able to compare 200,000 SNPs in a one-vial reaction and can be successfully applied to extremely small populations.

Epigenomics intends to apply ILD not only in the discovery of new drug-targets, but also to the limited patient populations treated in clinical drug trials, allowing the identification of the genetic causes of adverse side-effects. This information will allow Epigenomics to develop predictive diagnostic tests to optimize drug development.

On the agricultural side, it is well known that epigenetic factors have a major influence on significant economical agricultural issues. Until recently, the overriding theory within animal and plant breeding stated that both parents contribute equally to their offspring. However, researchers have found that DNA methylation is being used to specifically turn off certain genes in parts of the genome derived from either only the father or the mother. This effect, called genomic imprinting, can be included into breeding schemes with the use of the proprietary epigenetic technologies developed by Epigenomics. Molecular testing based on DNA methylation analysis is rapidly developing into an indispensable tool in virtually all breeding procedures. DNA methylation analysis is now poised to become an integral part of most breeding schemes that use molecular testing. Biopsytec is uniquely positioned to take first-mover advantage in this emerging field.

Biopsytec are pioneers in the field of agricultural molecular biology, developing and providing tools for use in animal husbandry and food production. The company, with headquarters in Berlin and locations in France, Luxembourg and Bonn, combines innovative logistics with modern molecular biological methods to support the safe and efficient production of food through traceability and quality improvement. Tissue samples, taken when an ear-tag is placed on an animal, ensure unequivocal treaceability. Biopsytec is a leader in the search for and isolation of the genetic causes of complex diseases and desirable quantitative traits. The Biopsytec process \"ILD - Identification of Linkage Disequilibrium\" allows the relevant regions of the genome to be more easily, more cheaply and more accurately identified. This unique combination of innovative logistics and modern molecular biology enables Biopsytec to address one of the key challenges of today\'s agriculture, namely the move away from intensive mass production with excessive use of medications and treatments. Biopsytec stands for more efficient, more natural and sustainable animal husbandry and agronomic production methods, leading to healthier foods through a better use of natural resources.

Epigenomics is a transatlantic biotechnology company, with headquarters in Berlin, Germany and its wholly owned subsidiary in Seattle, Washington, USA, pioneering tomorrow\'s personalized medicines. By detecting DNA methylation patterns, the \"on\" and \"off\" signs for genes, Epigenomics can create a digitized readout (Digital Phenotype®) for each tissue. The comparison of healthy and sick tissue enables an exact diagnosis of disease at a very early stage and reveals new therapeutic opportunities. The combination of diagnosis and therapy, based on this epigenetic information and our robust proprietary technology, is leading the way to improving patients\' quality of life. Epigenomics is the world\'s first and only company focusing exclusively on DNA methylation and its importance in the post-genomic age, and is supported by the world\'s premier network of academic researchers and clinicians with expertise in the field of cancer and DNA methylation. For further information, please visit our website at www.epigenomics.com.

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