BioTime Inc. said Friday it has acquired substantially all the assets from biotech company Cell Targeting Inc. for $250,000, a move aimed at bolstering its slate of embryonic stem-cell therapy products.
BioTime issued 261,959 common shares as part of the deal and its stock fell 62 cents, or 7.6 percent, to $7.51 on Friday.
Cell Targeting, based in Cleveland, has been conducting research in regenerative medicine, using peptides that can adhere to diseased tissues without modifying cell physiology.
The acquisition gives BioTime an exclusive license to use technology invented by a group of researchers at the Sanford-Burnham Medical Research Institute for cell therapy.
"Our acquisition of the assets of CTI is indicative of our plan to assemble a core of stem-cell and related manufacturing technologies capable of enabling our development of a wide array of therapeutic products in the emerging field of regenerative medicine," said Michael West, BioTime's president and chief executive.
The phage display peptide technology licensed from Sanford-Burnham holds promise for use in directing certain types of human embryonic stem cells to sites in the body where they can have therapeutic effect.
BioTime said it will initially give the technology to subsidiary OncoCyte Corp. for its research and development into destroying malignant tumors.
Joseph Wagner, Cell Targeting's president and chief technology officer, will become CEO of OncoCyte, BioTime said.