Chiron sets up biotech venture in Singapore

Chiron Corp has set up a drug discovery venture in Singapore withPharmBio Growth Fund, a life sciences fund managed by the country's Economic Development Board, which will establish Singapore's first biotechnology research firm, called S*Bio.

Under the terms of the agreement, Chiron will have a 19.9% stake in S*Bio and is to receive $22 million in technology transfer fees. The US company will invest $8 million into the new venture and will retain rights to commercialize products that come from S*Bio's discovery programs.

Sean Lance, Chiron's chief executive, said that the establishment of S*Bio provides the firm with a means to grow its genomics and small molecule offerings externally. Philip Yeo, chairman of the EDB, described the deal as a "landmark investment to encourage more companies to conduct high-value R&D activities in Singapore," and claimed that S*Bio's competitive advantage is its focus on drug discovery for diseases prevalent in Asia.