Canadian clinical genomics companies to merge

Xenon Genetics and RGS Genome to combine clinical databases and drug discovery programs

Canadian clinical genomics companies Xenon Genetics Inc. (Vancouver) and RGS Genome Inc. (Montreal) have signed a definitive merger agreement. Under terms of the deal, Xenon will acquire all outstanding RGS stock shares in exchange for cash and Xenon shares. The merger will combine Xenon's clinical databases and drug discovery programs in cardiovascular disease, diabetes, obesity, and ocular disorders with those of RGS in epilepsy, schizophrenia, and other neurological diseases.

"This merger brings together two leaders in the Canadian medical research industry and creates a clinical genomics company that can ably compete on the world stage," Xenon president and CEO Frank Holler said in a company press release.

"Together we have broad access to informative clinical populations and disease databases around the world, advanced drug discovery programs in cardiovascular diseases, metabolic diseases and neurological disorders, powerful comparative genomics technology, and a growing portfolio of novel disease-related genes and drug targets," Holler added.

As part of the agreement, Xenon will establish and fund a research center in Montreal to further advance the research programs of the two companies in neurological disease and comparative genomics.

RGS' three scientific founders—Guy Rouleau, Emil Skamene, and Philippe Gros—will maintain an active role with Xenon and the research programs. Rouleau will join Xenon's board of directors and will be head of research for the Montreal research center. Skamene will be appointed research director of mouse genetics. All three will also be appointed to Xenon's scientific advisory board.

Xenon Genetics is a privately owned clinical genomics company engaged in identifying genes and other drug targets associated with human disease and developing pharmaceutical therapies based on these genetic targets. The company has drug discovery programs in a number of common disease areas, including cardiovascular diseases, diabetes, obesity, and ocular disorders.

RGS Genome is a privately owned clinical genomics company with drug discovery programs in neurological diseases, including epilepsy and schizophrenia, as well as a proprietary congenic mouse population developed over the past eight years at McGill University.

For more information: Xenon Genetics Inc., Suite 100, 2386 East Mall, Vancouver, BC, Canada V6T 1Z3. Tel: 604-221-8478. Fax: 604-221-8423.

Edited by Jim Pomager
Assistant Editor, Bioresearch Online