EQiTX increases equity in ZingoTX

By Ruth Beran
Thursday, 28 July, 2005

Melbourne-based biotech managed investment group EQiTX (ASX:EQX) has increased its ownership in pain management company ZingoTX to 54 per cent with an equity instalment of AUD$300,000, bringing its total investment in ZingoTX to $1.9 million.

ZingoTX is developing synthetic Capsarol molecules -- hybrid structures derived from capsaicin and gingerols which target the TRPV1 receptor -- initially for the treatment of neuropathic (nerve) pain and inflammation.

The company initiated a preclinical toxicology and pharmacokinetic program on its lead compound in June and a phase Ia clinical trial is planned to begin in the second half of 2006.

ZingoTX was formed in February 2003 as a joint venture between EQiTX, TP Health and the University of Sydney and the company owns the intellectual property associated with the pain management compounds, having been assigned the rights to the US granted patent.

EQiTX has the option to invest a total of $2.36 million in ZingoTX, over a 36-month period, to own 58 per cent of ZingoTX.

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