Broadvector to raise $8.5m for prostate cancer and loose prosthetics

Aged health specialist Broadvector has issued a prospectus as it seeks to raise around $8.5 million to fund the development of a novel prostate cancertherapy in addition to a treatment addressing the problem of ascpetic loosening of hip replacements.

Broadvector’s technology platform, initially developed by the CSIRO, is based on the application of transient gene therapy. This involves the introduction of a specific gene into a patient’s body with the aim of treating medical conditions in a specific target tissue.

The company is currently applying this technology to target tissue in the prostate as well as tissue responsible for the loss of joint strength associated with aseptic prosthetic loosening.

Prosthetic loosening is a common and painful condition that can develop in the years following a joint replacement. At the moment the only available treatment is the surgical replacement of the prosthesis, an expensive and invasive procedure which is not advisable for many elderly sufferers.

Following an incubation time of one or two days, a small molecule prodrug is then administered into the patient’s body where it is converted to the active drug in the target tissue. Known as Gene Directed Enzyme Prodrug Therapy (GDEPT) the approach is especially suited to treating solid tumours.

Broadvector has approval from the Therapeutic Goods Administration (TGA) and St Vincent’s Hospital in Sydney to commence a Phase I clinical trial of GDEPT in prostate cancer patients. Meanwhile the company’s hip repair product is poised to enter a Phase IIa trial, following clinical trials in Europe.

Broadvector’s pre-IPO market capitalisation is $16 million and the Company is offering 42.5 million new shares at $0.20 each.

The offer is due to open on Friday 9 September 2010 and closes on 7 October 2010, with the company expecting to officially join the ASX on October 14.