Stock Update (NASDAQ:GENE): Here’s Why Genetic Technologies Limited (ADR) Shares Are Skyrocketing 80%
Genetic Technologies Limited (ADR) (NASDAQ:GENE) investors are overwhelmingly excited today after the genetic testing product maker announced the signing of an exclusive worldwide license agreement with The University of Melbourne for the development and commercialisation of a novel colorectal cancer (CRC) risk assessment test.
The terms and conditions of the Agreement are confidential, however, Genetic Technologies will be responsible for the commercial development of the test. In addition, as part of the Agreement, The University of Melbourne and Genetic Technologies will embark on a robust, ongoing research collaboration enabling the Company to leverage the University’s renowned world-class expertise in SNP-based risk assessment and risk model development.
Genetic Technologies shares reacted to the news, rising nearly 75% in Tuesday’s trading session.
“This is an exciting time for the Company as we commence this strategic alliance with The University of Melbourne. The relationship with the University is comprehensive and highlights our overall corporate mission to become a leader in the genomics focused oncology diagnostics’ industry while enhancing our pipeline of risk assessment products,” commented Eutillio Buccilli, Executive Director and Chief Executive Officer of Genetic Technologies Limited.
The core technology behind this CRC risk assessment test was developed by Professor Mark Jenkins and his research team at the University’s Centre for Epidemiology and Biostatistics. Results from preliminary modelling studies were first published online in Future Oncology on 1 February 2016, in a paper entitled “Quantifying the utility of single nucleotide polymorphisms to guide colorectal cancer screening,” 2016 Feb: 12(4), 503-13. This simulated case-control study of 1 million patients indicated that a panel of 45 known susceptibility SNPs can stratify the population into clinically useful CRC risk categories. In practice, the technology could be used to identify people at high risk for CRC who should be subjected to intensive screening which can ultimately reduce the risk of occurrence and death from the disease. Those identified as low risk of CRC can be spared expensive and invasive screening, thereby preventing adverse events and saving money, as it is not justified. A scientific validation study supporting this work is nearing completion and is expected to be published within the next six (6) months.
The fundamental technology is similar to the BREVAGenplus test and will fit synergistically into the Company’s existing infrastructure and processes. The CRC test represents a significant milestone for the Company as it seeks to diversify its product pipeline and become a key player in the SNP-based cancer risk assessment landscape. The commercial development strategy for the CRC test will benefit from the BREVAGenplus experience in the marketplace. (Original Source)
Genetic Technologies Ltd. is a molecular diagnostics company that offers predictive testing and assessment tools to help physicians proactively manage women’s health. Its product, BREVAGenplus, is a clinically validated risk assessment test for non-hereditary breast cancer.