Transgenomic Inc has entered into a supply agreement during the second quarter with Geron Corporation, a biopharmaceutical company focused on development and commercialization of therapeutic products in the areas of oncology and regenerative medicine.

Under the agreement, Transgenomic will supply modified nucleic acid building block compounds that Geron will use to synthesize GRN163, Geron's anti-cancer drug, for use in preclinical and clinical studies in 2002 and 2003. GRN163 is a thio-phosphoramidate oligonucleotide, a new class of oligonucleotide analogues (oligomimetics) that have demonstrated a number of advantages over earlier-generation oligonucleotide chemistries, including enhanced sequence-specific RNA binding activity, a high resistance to nuclease degradation and improved cellular uptake and biodistribution properties.

GRN163 works by inhibiting telomerase, representing a novel approach to cancer treatment. Cancer cells rely on telomerase-an enzyme containing both protein and RNA components-to maintain the integrity of repetitive DNA sequences (telomeres) located at the ends of chromosomes. The presence of telomerase in cancer cells facilitates indefinite cell division, a critical factor in the development of cancer. GRN163 has demonstrated effectiveness in animal models of glioblastoma (brain cancer), prostate cancer, lymphoma and multiple myeloma.

"We are pleased to be able to support Geron in their ongoing work to develop a promising and novel cancer therapy," said Collin D'Silva, Transgenomic CEO. "Biopharmaceutical companies such as Geron have a need to adapt cutting-edge developments in nucleic acid chemistry for use in production-scale processes. We can offer added value by applying our expertise to help facilitate this important transition. Furthermore, we believe our capacity expansion, which is already well underway, positions us to supply the larger quantities required as therapeutic products move through clinical development to regulatory approval, market launch and beyond."

Transgenomic provides versatile and innovative research tools and related consumable products to the life sciences industry for the synthesis, separation, analysis and purification of nucleic acids and a wide variety of nucleic acid-based specialty chemicals.