healthcare : Innovation + Job News

The University City Science Center does not slow down for the holidays. In the last week, it has announced a a new coworking space for emerging startup companies and a new round of funding for its QED Proof of Concept program.

The new coworking space, dubbed the Bullpen, is located inside the Science Center's Port Business Incubator (3711 Market St.)  and already has its first "pitcher" in Belgium-based Biologistics Consulting. The Bullpen offers relief from expensive office space in the form of desks, phone, and high-speed Wi-Fi, plus a convenient location in the heart of University City.

In addition, says Science Center President and CEO Stephen Tang, "Bullpen residents have access to the same services and programs offered to all the residents of our Port Business Incubator."

Biologistics Consulting, which is a participant in the Science Center's Global Soft Landing Program, isn't the only Belgian company at the Port Business Incubator. Arlenda Inc., which facilitates risk-based decision making for pharmaceutical- and  vaccine-makers, has moved into office space at the incubator, working closely with local universities, CHOP and Merck, to name a few.

On Monday, three first-time recipients of $200,000 each were announced for the Science Center's QED program, which aims to facilitate commercial investment in early stage and high-potential life science technologies.

Funding went to Philadelphia University for a new biocidal textile technology to address the high-incidence of hospital acquired infections.

Thomas Jefferson University won funding for the first clinically reliable test for pancreatic ductal adenocarcinoma, the primary form of pancreatic cancer.

Also, Lehigh University in Bethlehem received funding for a portable medical oxygen concentrator for patients with lung disease.

Source: Jeanne Mell, University City Science Center
Writer: Joe Petrucci

Two suburban companies, AssetVUE  in Bucks County and MobileReactor LLC in Chester County, were each approved for $200,000 investments in the latest round of funding announced in a news release on Monday from Ben Franklin Technology Partners of Southeastern Pennsylvania.

AssetVUE, based in Bristol and led by President Sean Cotter, provides hardware, strategies, support, assembly and upgrades for data centers. The other new investment was for MobileReactor, based in Devon and doing business as OneTwoSee, which develops products and services that allow TV viewers to use mobile devices to play along with their favorite shows and other viewers in entertaining ways that are also meaningful for advertisers.

Also funded were:

Essential Medical, Wayne: $250,000 to aid in developing innovative products for use in cardiac catheterizations in leg arteries.

Novetas Solutions, Philadelphia: $200,000 toward processing and marketing of recycled glass that is crushed through a patent-pending grinding process and used in industrial processes. Previous Ben Franklin investments total $300,000.

Real Time Tomography, Villanova: $150,000 to continue its development of state-of-the-art image processing and image reconstruction for next-generation 2D and 3D medical imaging systems. Previous Ben Franklin investments total $425,000.

TicketLeap, Philadelphia: $25,000 for the e-commerce company providing online ticket-selling services for event organizers also provides barcode scanning, instant credit card swiping and design and tracking services. Previous Ben Franklin investments total $500,000.

Source: Jaron Rhodes, Ben Franklin Technology Partners of Southeastern Pennsylvania
Writer: Joe Petrucci

Put that paperwork down. Greenphire is fundamentally changing the entire clinical research industry. The King of Prussia based company has two products, ClinCard and eClinical GPS, designed to streamline clinical research studies. The technology is working, and it's well received, having just closed a round of Series A funding led by FirstMark Capital, on the heels of Ben Franklin Technology Partners funding last year.

Greenphire's COO John Samar reports that this year, the company will achieve 300 percent revenue growth over last year, currently serving 200 customers including big name pharma, biotech and medical device companies. Just four years ago Greenphire consisted of Samar and co-founder/CEO Sam Whitaker, and with the cash influx, the company is hiring. Samar estimates that the current staff of 16 will double by spring of 2012. Currently, there are three openings: VP Program Management, Program Manager and Office Manager/Client Support/Bookkeeper.

ClinCard, says Samar, is Greenphire's debit card based product that handles payments for participation in clinical research trials, adding email and SMS functionality to keep patients engaged in studies. Participants receive tailored messaging and appointment reminders.

"There are a lot of value adds that result from the way we package," says Samar. "Sponsors get cleaner, more robust data, and patients are happier. The whole clinical research industry is realizing that it needs to be more patient centered." Increased compliance on both sides of the equation, from patients to paperwork, sets ClinCard in its own class, and it's not hard to see how Greenphire's technology could be applied to a much wider healthcare market.

But Samar says right now Greenphire is sticking to its expertise in the clinical research sector, and this year launched its second product, eClinical-GPS (Global Payment System) to address payments involved in the execution of the study. So, for example, if a clinician draws blood, reimbursement -- which previously took 6 to 8 months -- now arrives within three days.

The high growth private company is partnering with Mytrus for Pfizer's virtual clinical trial program that allows participants to remain at home, using electronic communication tools to recruit, retain and administer studies.

Source: John Samar, Greenphire
Writer: Sue Spolan

Concerns about money are raising the legislative roof at the federal level. Meanwhile, jobs and innovation are flowing out of the US and into China, India and the EU. The US biopharmaceutical industry is undergoing major changes. Hundreds of small and medium sized firms require intensive capital to conduct research. Major players in the industry, including Sanofi-Aventis,Merck, Pfizer and AstraZeneca, have cut more than 43,000 jobs nationwide as of September 2010. Health care reform adds more uncertainty to the industry at large.

Rather than attempt to allocate nonexistent federal money for life sciences research and development, Representatives Chakah Fattah, Allyson Schwartz, and Pat Meehan, along with Senator Robert Casey Jr., have a plan to provide money on a national level for the life sciences industry though tax incentives. On July 25, the bipartisan group introduced The Life Sciences Jobs and Investment Act of 2011 at the University City Science Center, a locus of life science research.

"This legislation is about inventing the future," says Casey. "In Pennsylvania, we don't wait for events to overtake us."

Southeastern Pennsylvania's political leaders have a vested interest in life sciences, according to Schwartz, who pointed to the concentration of teaching hospitals, medical research and life science entrepreneurs here.

"It's one of the aspects of the American economy where we are still leading, but we won't continue if we can't compete," said Meehan, who stressed that the bipartisan effort will have a much better chance of passing. Schwartz added, "It's not an easy time to get anything done in Washington."

The legislation, introduced on July 25, doubles the credit from 20 to 40 percent for the first $150 million of life sciences research and development. Also, to encourage domestic productivity, companies that bring foreign profits back to the United States will enjoy a reduced tax rate, as long as those funds that are used to hire domestic scientists and researchers and make new investments in American research and development.

Source: Robert Casey Jr., Allyson Schwartz, Pat Meehan, US Congress
Writer: Sue Spolan

It's a gritty city, and someone's got to pretty it up. Sarah Holmes' Gritty City Beauty Company began as a personal quest for simple skin care products. "It started when I was pregnant," recalls Holmes, who had to give up tubes of topical ointment and needed a healthier alternative. She started making her own scrubs and masks, and it wasn't long before the full-time product liability lawyer saw a business idea in her afterwork potion making.

"It seemed like the more I cut out the prescription creams, the better my skin got," says Holmes, and Gritty City Beauty Company was born at the end of last summer. Holmes is also a wife and mother of a 15 month old toddler, yet she somehow finds time evenings and weekends to create and grow her line of organic beauty products.

Gritty City now carries soaps, scrubs and toners as well as all natural makeup. While the former can be cooked up in Holmes' Port Richmond kitchen, the makeup is created in a lab. While this type of product is not mandated by law, "You do have to adhere to certain manufacturing practices," says Holmes. "Ultimately you have to put out a product that is safe and can hold up to consumer use. I am very careful about that sort of thing."

Gritty City is primarily an online operation, and Holmes sets up tables at local outdoor events, where people are able to smell and test the items. Holmes was surprised to discover that she has a strong older customer base. If she had to guess, she would have placed her target customer in the 18 to 35 age range, but she actually gets a lot of buyers in their 50s and 60s.

Gritty City is also beginning to get placement in Philadelphia boutiques and has met or exceeded all its benchmarks so far. With no outside financing, Holmes relies on social media marketing, and Facebook and Twitter are driving traffic to the online shop. You can find Gritty City at Nice Things Handmade on Passyunk Avenue in South Philadelphia, and Vix Emporium in West Philly. Or head down to Headhouse Square on July 2, when Gritty City sets up shop at the Craft and Fine Arts Fair.

Source: Sarah Holmes, Gritty City Beauty Company
Writer: Sue Spolan

Days before longtime tenant BioNanomatrix announced its move to San Diego, the University City Science Center recently welcomed five new companies, and continues to be an incubator for both startups as well as international companies wishing to establish a U.S. base and national companies hoping to move into the Philadelphia market.

The new tenants include life science companies Longevity Biotech, Claremont, and Epitek, Inc.; investment firm Karlin Asset Management; and Parsortix, Inc. a French company that specializes in the transportation and medical equipment sectors.

Scott Shandler is co-founder of Longevity along with Dr. Sam Gellman of the University of Wisconsin. "Longevity develops market leading, novel therapeutics for both rare and widespread diseases," explains Shandler, who has a dual background in finance and biochemistry.

Longevity's primary product is the proprietary Hybridtide platform, developed at Gellman's academic lab in Wisconsin, enables the development of new therapies to treat a range of diseases including primary arterial hypertension, small cell lung cancer, type II diabetes and HIV, according to Shandler. Longevity currently has a contract with Fox Chase Cancer Center. "The exciting science in Dr. Gellman's labs together with the increasing lack of products within the Big Pharma pipelines led me to commercialize this line of work," says Shandler.

Claremont's sole employee is Blandine Chantepie, the U.S. director of sales and business development. Chantepie fell in love with Philadelphia in general and the University City incubator in particular, having already occupied space at SciCenter while working for Claremont parent company Ballina Capital group.

Claremont's two divisions have quite different client bases. Its medical device division manufactures a laser for dental use. "They have been selling around the world, and are strong in Europe and Korea," says Chantepie. Now the company wants to make inroads into the U.S market. Already past the hurdle of FDA approval, it's just a matter of setting up a sales and distribution network, which is already showing early success. Chantepie cites the proximity of Penn Dental School as a selling point for the company's location.

Calremont's train parts division looks to Amtrak and SEPTA for major contracts, and Chantepie says that Philadelphia's central spot along the heavily travelled Northeast Corridor is ideal. Many of Amtrak's corporate offices are right here in Philadelphia in the floors above 30th Street Station. Chantepie anticipates hiring employees within the next six to twelve months.

The remaining three companies moving into the SciCenter are early stage investor Karlin Asset Management, a Los Angeles based firm with $1 billion in equity capital; life sciences firm Epitek develops treatments for radiation exposure and methods of radiation prevention, and Parsortix is a particle separation company founded in 2006 that is developing applications for stem cells, oncology, pre-natal diagnostics and bacteria.

Source: Blandine Chantepie, Claremont; Scott Shandler, Longevity
Writer: Sue Spolan

Maybe you take a couple of different prescription medications. If you don't now, chances are that as you get older, you will. And the interaction between drugs can be a wild card. That's where Absorption Systems rides in like a pharmaceutical cavalry. Based in Exton, the privately held company is a pioneer in the field of pharmacokinetics. As CEO Patrick Dentinger explains, there are two areas of preclinical drug research: pharmacodynamics, or what a drug does to your body, and pharmacokinetics, which is what your body does to the drug. The latter is Absorption Systems' specialty. "The FDA has gotten tougher in trying to understand what a drug does when it hits your body," says Dentinger. The company researches the path that singular and multiple meds take through the body.

In a series of buildings filled with lab coated technicians and millions of dollars of equipment, Absorption Systems is big pharma's first stop on the way to developing a drug that will eventually go to market, perhaps a decade down the line. Many compounds don't even make it out of the research phase, and Dentinger reports that most of the time, pharmaceutical clients do not share the purpose of the proposed drug, just the chemical compound.

Once a compound is submitted to Absorption System's lab, it goes through rigorous testing involving human tissue to simulate the interaction. Absorption Systems grows intestine, liver and skin cells, and out of a scene from the classic Woody Allen film Sleeper, the company has even used human noses (harvested from cadavers) to measure the way a molecule does or doesn't get into a body.

"The industry has changed in general," explains Dentinger, who describes formerly high walls of privacy surrounding pharmaceutical research crumbling in recent years with outsourcing to biotech startups and contract research organizations (CROs) like Absorption.

While Dentinger, whose sole partner is Ismael Hidalgo, does not disclose details of the privately held company's revenue, Absorption Systems is certainly growing, with over 200 customers and 115 employees, a satellite lab in San Diego and direct interaction with the FDA. The company hopes its future proprietary data collection technology can revolutionize the way all scientific research is documented and potentially create a spinoff company.

Source: Patrick Dentinger, Absorption Systems
Writer: Sue Spolan

Medical device company Echo Therapeutics has set up corporate headquarters in Philadelphia, and plans to hire 25 employees in the next year, according to CEO Patrick Mooney. The company is developing two devices, Prelude and Symphony, which offer a painless alternative to both blood glucose monitoring and drug delivery. The company has just announced the appointment of a CFO, creating a third member of the management team.

Life as a diabetic involves the sight of one's own blood, and a little bit of discomfort every time the needle pierces skin. Now imagine that part of the equation removed, replaced with a needle-free mechanism that can test blood sugar levels transdermally. Echo's Synmphony device gathers information transdermally and transmits it wirelessly.

"The tip looks like a little thimble, and there's a microprocessor inside the device that calculates the level of resistance. The thimble spins, removing dead skin. You don't feel anything, but it stops when it gets to live skin. Now you are literally on top of blood vessels and nerve endings, just microns away from live tissue," explains Mooney, a former surgeon who left medicine to work on Wall Street, and is now marrying his two career paths at the helm of the life sciences startup.

Echo's other device is a transdermal drug delivery system. The Prelude also takes advantage of that exact spot at the juncture of dead and live tissue to get drugs to the body without needles. Right now, the Prelude is being tested with lidocaine, a numbing agent, but the possibilities are vast.

The technology for the Prelude and Symphony was developed at MIT in Massachusetts by Dr. Bob Langer, and the manufacturing side of the business will remain in the Boston area. "I am from Philadelphia originally," says Pat Mooney of the corporate move to this area. "Philadelphia is in a great spot for biotech." Mooney calls the city a sweet spot for his pre-revenue company, citing the proximity of major pharmaceuticals, money managers in New York City, regulators in Washington, DC, and labs in Boston. Echo has just released its first quarter results, showing positive numbers across the board.

Source: Patrick Mooney, MD, Echo Therapeutics
Writer: Sue Spolan

Rosacea is not a life threatening condition, but the facial redness of the disorder can be embarrassing enough to make a sufferer want to die. Rosacea is characterized by a red blush, spidery veins and acne-like pustules on the face. The condition may be intermittent or long term. Malvern-based Vicept is a specialty biopharmaceutical startup that has developed a topical cream that treats the most obvious symptom of the facial condition.

"There's nothing right now on the market that's strictly indicated for the treatment of the redness of rosacea," explains Vicept Director, President and CEO Neal Walker, MD. With $16 million in Investigational New Drug (IND) capital raised during a very tough time for the economy and for life sciences investment in particular, Vicept's prescription cream is an easy fix compared to other rosacea treatments on the market, none of which address the symptom of redness. Laser procedures are considered cosmetic and are not reimbursed by insurance; Oracea, a low dose antibiotic in pill form, affects the whole body and only targets the bumps and pimples, not the redness, according to Walker.

In contrast, Vicept's as-yet unnamed product goes after receptors in facial blood vessels, clamping them down with a vasoconstrictor mechanism and blanching out the redness. Walker is a practicing dermatologist and reports that the active ingredient in the cream has been around since the 1960s, and was originally in Afrin nasal spray.

Vicept has completed Phase 2 clinical studies and is ready to move on to Phase 3 as it continues to move the product along in development, talking with different types of potential partners for distribution both in North America and globally. The fast track company, founded in 2009, has seven full time employees and is nominated for a PACT Enterprise Award this year. Walker says he expects the prescription cream to be available within the next few years.

Source: Neal Walker, MD, Vicept
Writer: Sue Spolan

Imagine cancer treatment without debilitating chemotherapy and damaging radiation. Researchers in the field of fighting cancer and infectious diseases have recently come up with a way to remove, edit and replace patients' own cells to turn them into cancer and HIV super soldiers in the body. Adaptimmune LLC, one of University City Science Center's newest tenants, is the first company of its kind to develop a methodology for generating high affinity T cell receptors. Dr. Gwen Binder-Scholl, the Vice President of Operations at Adaptimmune, says that this powerful approach is a major departure from previous forms of cancer and infectious disease treatment, offering the advantage of much higher potency with far fewer side effects.

Traditional chemotherapy attacks any rapidly dividing cell in the body, knocking out cancerous tumors, but also killing cells that generate hair and mucous membranes. In this new treatment paradigm, T cells, which are the body's immune soldiers, are harvested from the patient, modified and placed in cell factories to grow, and then returned to the patient via vaccine. The whole process takes only three weeks from manufacture to release, according to Binder-Scholl, so that cancer and HIV can be treated fairly quickly.

"We are really the only company taking the next step towards commercialization of adoptive T cell therapy with high affinity TCRs," says Binder-Scholl, who has been working on T cell receptor research at the University of Pennsylvania's Abramson Family Cancer Research Institute for about three years at the June Laboratory under the guidance of professor Carl June, MD. Binder-Scholl explains that Adaptimmune, a subsidiary of a UK company, approached her to manage and carry forth U.S. clinical trials. While Adaptimmune already has a close relationship with Penn, its overseas leadership qualifies it for the SciCenter's Global Soft Landing Program.

This month, Adaptimmune is opening three new oncology indications: a trial for melanoma, which is very common, and trials for the less frequently occurring cancers synovial sarcoma and multiple myeloma. Depending on how the clinical trials go, Binder-Scholl expects to see data emerge within 12 months and hopes to get approval for the experimental treatment with the decade.

Source: Gwen Binder-Scholl, Adaptimmune LLC
Writer: Sue Spolan