Astex enters cancer research alliance with UK organisations

Astex Pharmaceuticals has signed a major five-year strategic drug discovery alliance with Cancer Research Technology and Newcastle University.

Under the terms of the agreement, the partners will be working to develop new cancer drugs in collaboration with researchers at the Cancer Research UK drug discovery programme at the Northern Institute for Cancer Research.

Astex will provide one million pounds in funding to Newcastle University to support research spanning the fields of biology, chemistry, pharmacology and imaging, with the aim of creating new therapies and associated biomarkers.

In return, the firm will be granted an option to an exclusive worldwide license to develop and commercialise pharmaceutical products from each alliance project.

Dr Harren Jhoti, president and director of Astex Pharmaceuticals, said: "We are delighted to enter into this broad strategic drug discovery alliance with one of Cancer Research UK's leading drug discovery centres, as it allows Astex to access world-leading translational research in oncology."

According to the company's most recent financial report, Astex saw a modest year-on-year increase in revenues during the third quarter of 2012 and expects to turn a small profit across the full-year period.