GenVec signs new deal with Novartis on hearing disorder clinical trial material

USA-based GenVec saw its share price rise 12% to $0.57 in pre-market trading last Friday, after the company announced a new agreement for the supply of services relating to development materials with Swiss drug major Novartis, related to the companies' previously-signed collaboration in hearing loss and balance disorders. (The Pharma Letter January 20).

Under this new accord, GenVec could receive around $13 million over four years to manufacture clinical trial material for up to two lead candidates.

"This contract supports our ongoing collaborative efforts with Novartis to uncover solutions to the unfortunate and widespread problems of hearing loss and balance disorders," said Paul Fischer, GenVec's president and chief executive. "This new agreement with Novartis will enable the manufacture of a potential product candidate to address this important unmet medical need." Preclinical results suggest that delivery of the atonal gene using GenVec's innovative adenovector technology may have the potential to restore hearing and balance function,' he added.