Viral Genetics completes acquisition of V-Clip Pharmaceuticals

Viral Genetics, Inc. has announced it has completed its acquisition of V-Clip Pharmaceuticals, Inc. ("V-Clip").

Viral Genetics has exercised its option to obtain the remaining 56 percent of V-Clip it did not already own. Upon closing, Viral Genetics will own 100 percent of V-Clip and V-Clip's exclusive worldwide rights to patent applications developed by Dr. M. Karen Newell, PhD, of the University of Colorado at Colorado Springs. The acquisition is in response to the study team's success in proving the viability of Newell's mechanism of action, which is now being used to further Viral Genetics' research in HIV/AIDS and other immune based diseases. Through the V-Clip merger Viral Genetics has not only added to the company's intellectual property portfolio but has considerably expanded its IP in AIDS and an array of other diseases.

"The acquisition of V-Clip is indicative of our confidence in the value of its now proven research model, the development of which was led by Dr. M. Karen Newell, who we believe is on the cutting edge in science that could potentially unlock the mysteries behind HIV/AIDS and other immune based diseases. Our hope is that this model may result in the future creation of more effective and affordable therapies to aid those needlessly suffering worldwide," said Haig Keledjian, co-founder and CEO, Viral Genetics, Inc.

Mechanism Of Action

The crown jewel of V-Clip's intellectual property that Viral Genetics has acquired is Newell's mechanism of action, which explains Viral Genetics' thymus nuclear protein compound (TNP), created from a mixture of peptides derived from thymic histones. When used in six international human clinical trials, results indicated that 25%-35% of the HIV-infected population exhibited significantly reduced viral load and clinical improvement. During in vitro research, it was found that individual peptides in TNP can bind to antigen-presenting cells and may be able to redirect the immune response.

Newell is committed to identifying the connection of inflammatory events, which characterize early stages of infection, with the importance of inflammation on susceptibility to HIV, and the link to an individual's genetic profile. The long-term goal of her HIV work is to obtain an IND for testing in humans of the newly identified and synthesized peptides or "targeted peptides" that can appropriately redirect the immune response to HIV and other immune based diseases.

The study team has consistently demonstrated the viability of TNP in HIV/AIDS research and has since identified TNP's potential in other immune based diseases. Previously, the lack of an animal test model for HIV/AIDS was a barrier. Newell then applied her mechanism of action to Lyme Disease where an animal testing model was available. In doing so, the team demonstrated, for the first time, TNP's potential for the study of other immune-based diseases.

The V-Clip Merger and Acquisition was contingent on the study team meeting key milestones including proving the viability of TNP as a mechanism of action for the research of HIV/AIDS as well as other immune based diseases. Newell's research continues to move forward as predicted and has exceeded early expectations. Now that the study team has achieved its initial goals, they will soon move onto the clinical phase of research.

"We are so grateful and impressed with Dr. Karen Newell and her talented tireless team. Everyone is looking forward to what future research will hold as early findings are very encouraging. We're also in the process of plans to announce additional collaborators, and of course, Karen will continue to lead the way," said Monica Ord, SVP of corporate development and communications for Viral Genetics.