life sciences : 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

The Laurence A. Baiada Center for Entrepreneurship at Drexel University's LeBow College of Business is about to expand, taking up residence in the soon to be constructed LeBow building at 32nd and Market Streets. Currently tucked away in a former industrial space at 32nd and Arch, the Baiada Center has been physically separate from LeBow, but that's all about to change. The business school's former home, the Mathieson Building, is now in the process of being demolished to make way for a 12 story state of the art structure. The new Baiada Center will have a light-flooded open floor plan, and will add a behavioral lab where entrepreneurs can conduct focus group tests.

A division of LeBow, Baiada has long offered full support for entrepreneurs, from office and conference space to mentoring, training and promotion. "A lot of what we do is built around the presumption that most entrepreneurs know their space, and need help building and selling their companies,' says Mark Loschiavo, Executive Director and Senior Executive in Residence. Startups, which range in specialty from transportation to medical devices, also receive a small amount of seed capital.

The current space is currently home to ten companies, notably CityRyde, which just received $345,000 in funding for its bike share technology, as well as current undergrad Bradley Ericson, whose company 3 Second Receipts earned him the title of Entrepreneur magazine's College Entrepreneur of 2009.

Loschiavo says that the vast majority of Baiada's tenants are Drexel alums, and all have had some affiliation with Drexel. The center chooses two to three companies each year, negotiates a competitive one-year lease, and reviews the startup's performance at the end of the initial contract.

While residence is open ended, Loschiavo says companies must show movement in the right direction to remain in the center. One Baiada business, Drexel Drinks, is something of an incubator within an incubator. The on-campus beverage delivery service has become a model for succession, providing turnover and training as students graduate and move on.

Founder and primary funder Mel Baiada is a Drexel alum and serial entrepreneur who credits a successful exit in the software industry. He also founded Basecamp Business, a networking tool for entrepreneurs. "The Baiada Center established a culture of entrepreneurship at Drexel, and helps the university maintain an entrepreneurial focus," he says. Mel's brother, Mark, who founded Bayada Nurses, is also an investor in the incubator, which is named in honor of their father. The new LeBow building should be complete in 18 months.

Source: Mark Loschiavo, Mel Baiada, The Baiada Center
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

A partnership between the Franklin Institute and the Free Library of Philadelphia designed to grow young scientists is going national. LEAP into Science began as an offshoot of the library's afterschool homework help program. This year, 10 sites in urban centers nationwide will adopt LEAP, which encourages science and literacy learning among children and their families.

"We received National Science Foundation funding to pilot and develop the program," says Dale McCreedy, Director of Gender and Family Learning Programs at the Franklin Institute. LEAP has used the four year, $1.1 million grant for programs in 33 library branches across the city, taking advantage of the library's vast trove of science books for kids in kindergarten through fourth grade.

The two originating institutions, which sit across the Parkway from one another, have overlapping missions, says McCreedy, in trying to reach multiple age levels and supporting lifelong learning, combining the library's resources with the Franklin Institute's strengths in informal science education.

While the original model was set up in a library, nationally, the program may look different, according to McCreedy, with workshops and enrichment sessions held in museums and schools in addition to libraries. A recent expansion conference held in Philadelphia brought together stakeholders from across the country to consider curriculum and goals as they design and launch their own programs. The national expansion program received 30 applications for the 10 available spots in the first phase of the NSF funded initiative.

LEAP into Science now employs around 54 people in Philadelphia, with a dozen teens who serve as leadership assistants, some of whom have moved up the ranks to become associate leaders.

This is the third locally launched program out of the Franklin Institute that's gone nationwide, says McCreedy, who cites two initiatives in collaboration with the Girl Scouts that have expanded to 90 sites around the country.

Source: Dale McCreedy, Franklin Institute
Writer: Sue Spolan

As America races to maintain standing in the global economy, industry clusters have been touted as a key strategy for technological innovation. While Silicon Valley and North Carolina's Research Triangle are held as bright spots where higher education meets high tech, few innovation clusters are successful. A recent column in the Washington Post dubbed government funded industry clusters "the modern day snake oil," doomed to fail.

At the third annual Regional Affinity Incubation Network (RAIN) meeting, held last week at the University City Science Center, David Finegold, Dean of Rutgers' School of Management and Labor Relations, responded. "A lot of efforts haven't panned out, but industry clusters are not without hope." He explained that early efforts were "real estate plays." What sets the tri-state region apart is the ability to build from that which is distinctive about this area, said Finegold, rather than starting from scratch and hoping that if it's built, innovation will come.

New Jersey, in particular, has nowhere to go but up, having ranked last in 2010 in U.S. job creation. While traditionally the state was a leader in biopharma and telecommunications, these industries made up a large-firm culture, and it's now time to build diverse networks, according to Finegold.

The University City District in Philadelphia is a 2.5 square mile powerhouse of commercial and institutional vitality, employing 70,000 people, according to UCD president Matthew Bergheiser. Forty percent of NIH funding in Pennsylvania is granted to projects within the boundaries of University City, and the Science Center has long been a fertile startup breeding ground that encourages organic growth, rather than superimposing ideas of innovation on an otherwise bereft area.

In Delaware, by contrast, plans are underway to convert Newark's former Chrysler assembly plant into an 250 acre innovation hub complete with living and working space, with an existing rail station to encourage commuters, and the potential to create collaboration across state lines, according to David Weir, PhD, Director of the Office of the Economic Innovation & Partnerships at the University of Delaware.

With a continued soft real estate market, Finegold offers that the way out of the recession is through leveraging human capabilities and university facilities. "We already have a great talent base here," said Finegold of efforts in Pennsylvania, New Jersey and Delaware, which he terms one of the most diverse regions on the planet.

RAIN is a regional network of over 40 research parks, incubators and support organizations located in the tri-state area.

Source: David Finegold, Matthew Bergheiser, David Weir, RAIN
Writer: Sue Spolan

PHOTO:

Former Chrysler Assembly Plant in Newark DE

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

"I was a Science Center squatter," says Han Cao, founder of life sciences startup Bionanomatrix, now valued at $40 million. It's success stories like these that inspired the new Quorum at the University City Science Center. Back when Cao was a struggling scientist, he occupied virtual office space at the SciCenter. But when rent money dried up, Cao camped out anywhere he could, hiding behind a column in the lobby or setting up shop by the coffee machine.

The Quorum is a well-appointed series of rooms that can be opened into one big space or divided into smaller areas. With a sweeping view of the city, SciCenter CEO Stephen Tang calls the space a clubhouse. "We acknowledge the universal need to meet people," says Tang, who feels that face time is an essential part of business success. With so many electronic ways to connect, meeting in person is harder when you don't know where to go.

Philadelphia's business and government leaders were present last Thursday to bless the grand opening of the 4,000 square foot Quorum, including Mayor Michael Nutter, Duane Morris attorney Richard Jaffe, who is the outgoing SciCenter Chairman of The Board, Craig Carnaroli, who replaces Jaffe in that role in addition to his day job as executive vice president of the University of Pennsylvania; Mel Baiada, founder of BaseCamp Business, and State Representative Jim Roebuck.

Upcoming events planned for the Quorum are designed to unite area business leaders with entrepreneurs; on June 20, Smart Talk: Adventures in Entrepreneurialism, Deloitte Fast 50 Secrets of Success features CEOs from some of the region's fastest growing companies giving advice to hopefuls who may one day be able to tell their own mutli-million dollar success stories.

Source: Han Cao, Bionanomatrix; Stephen Tang, University City Science Center
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