Benitec signs license deal with Calando

Californian biopharmaceutical company Calando Pharmaceuticals has granted an exclusive worldwide license to Benitec (ASX:BLT) for the use of its polymeric nucleic acid delivery technology, which Benitec will use in conjunction with its RNA interference (RNAi)-based therapeutic for hepatitis C virus (HCV).

Calando Pharmaceuticals is a majority owned subsidiary of Arrowhead Research Corporation (NASDAQ:ARWR) and, like Benetic, is developing RNAi technologies. The partnership between Benitec and Calando will develop nanoparticles to specifically penetrate liver cells infected by HCV and will repeat dosing similar to approved molecule drugs for HCV.

"Benitec is getting the exclusive worldwide licence to the platform technology for HCV," said Benitec chairman Ray Whitten.

In return, Calando will receive an upfront payment, milestones and royalties on revenue from this HCV therapeutic, however, amounts have not been disclosed.

"The problem with the AAV [adeno-associated virus] is that it's a permanent viral solution. This is a non-viral solution," said Whitten.

Calando's technology aims to address problems with the delivery of RNAi molecules. Due to their large size, RNAi molecules are not readily taken up by cells, making the treatment of diseases that can't be accessed topically or by direct injection into a particular organ or at the disease site difficult.

Calando recently found that intravenous injection of nanoparticles comprised of Calando's proprietary cyclodextrin polymers and an RNAi drug had a significant therapeutic effect in a small animal model of Ewing's Sarcoma.

"We've been looking to fast track the delivery [of our therapeutic], we believe this will achieve it," said Whitten.