Biofusion plc (AIM: BFN), the university IP commercialisation company that turns world class research into business, is today pleased to note that Phoqus Group plc (“Phoqus”), the oral drug delivery and development company that is working in collaboration with Biofusion’s subsidiary company Diurnal Limited (“Diurnal”), the Sheffield-based drug development company, intends to raise approximately £5 million (gross) to progress Chronocort™, a controlled release formulation of hydrocortisone to treat adrenal insufficiency, through Phase III pivotal clinical trials. Chronocort™, which has European Orphan Medicinal Product designation, is being developed in collaboration with Diurnal and is expected to be available on the market at the end of 2009. Diurnal, in which Biofusion holds an equity 60% stake, expects Chronocort™ to generate significant royalty revenues in a market believed to be worth in excess of £100 million.
Chronocort™ is a modified release formulation of hydrocortisone that will treat adrenal insufficiency (hypocortisolism), where the adrenal gland is unable to produce adequate amounts of cortisol in response to stress, and congenital adrenal hyperplasia, a serious genetic disorder caused by the deficiency of an enzyme responsible for cortisol production.
The Chronocort™ product is designed to mimic the natural rhythm of hormone levels in the body, which is considered important in controlling disease symptoms, and reducing unwanted side effects.
Commenting on this announcement, David Baynes, CEO of Biofusion, said: “As the majority shareholder in Diurnal this is excellent news for Biofusion. Chronocort™ has the potential to generate significant revenues for Biofusion over the next ten years and we believe this will be the first of a number of products that will be developed utilising Diurnals intellectual property. The continued development of Chronocort™ demonstrates the value of intellectual property being created within the Biofusion portfolio.”
Professor Richard Ross, founder director of Diurnal Limited, said: “We are delighted to be working in collaboration with the first class research and development team at Phoqus and to be progressing the Chronocort™ product through Phase III pivotal clinical trials. There is a serious unmet medical need surrounding the symptoms of adrenal insufficiency and I am extremely positive that the product will be welcomed to the market with significant demand from patients and healthcare professionals.”