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Cellectis reaches key milestone in collaboration with Bayer CropScience on uses of meganuclease technology in plants

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Romainville, France
May 28, 2007

Cellectis SA, the French rational genome engineering company, today announced its first milestone in the framework of its collaboration with Bayer CropScience on uses of Cellectis’ proprietary custom-made Meganuclease technology in plants to develop products for use in agriculture.

Meganucleases are a proprietary genome engineering technology developed by Cellectis that allows highly precise ‘editing’ of genetic sequences. They consist of sequence-specific endonucleases with large (>18-24 bp) recognition sites. This high specificity ensures Meganucleases can bind and cut at a single point in a chosen genome without the imprecision associated with most other forms of gene modification. Custom-made Meganucleases can be designed for very specific gene targeting applications, which include genomic sequence addition, modification or deletion

Cellectis completed a key milestone by successfully designing and delivering engineered Meganucleases specifically customized to recognize chosen targets in crop genomes. Targets and terms of the collaboration were not disclosed.

“We are pleased to meet this key milestone in our program. This comforts our strategy and our collaboration with Bayer.” Commented David J.D. Sourdive, Vice President Corporate Development of Cellectis. “We are delivering as planned and are thus successfully implementing our business model.”

About the agreement

Meganucleases can induce precise, surgical changes in crop genomes and have the capacity to be the next break-through enablement for increasing crop yield and creating new plant-based products for Bayer CropScience’s customers.

Agronomic applications are a clear segment of the Cellectis’ markets and the collaboration with Bayer is part of its efforts to see that its proprietary Meganuclease technology be implemented in plants. Cellectis’ achievement is both a milestone in the collaboration between the two companies and is also in direct line with its strategy.

Cellectis SA is a world-leading company in genome engineering and genome surgery. It focuses on developing new tools for rational reverse genetics and targeted recombination. In particular, Cellectis designs meganucleases (small proteins) that cut DNA at a highly precise chosen location in a genome and nowhere else. Genomic DNA breaks are repaired naturally by the DNA maintenance system present in all living organisms. Cellectis combines the ability of meganucleases to cut DNA at a single, chosen location with natural DNA repair, in order to offer new-generations products for a wide spectrum of applications:

Human health: Meganucleases that target a gene responsible for a genetic disease are transferred into human cells together with a DNA repair matrix which includes the correct sequence for the mutated gene. After the DNA break occurs (which takes just a few minutes) the right sequence is copied into the genome of the patients’ cells and the gene is thus repaired. This process - termed ‘genome surgery’ – has a defined time-frame of action limited with permanent effects. All other transferred material is degraded by natural mechanisms.

Agrobiotech: The same process used in human healthcare can be applied to plants, with the objective of replacing one gene by another, modifying the gene or shutting it down. The applications developed using Cellectis’ technology are essentially focused on improving agronomic features of crops, producing new generations of biofuels and developing better biofibers.

BioProduction: BioProduction is the production of therapeutic proteins and antibodies using bacteria, yeasts or  mammalian cells (mouse, hamster and human cells). This multibillion market has an annual growth rate of over 15%. Cellectis has developed meganucleases that cut the DNA of major production cell lines used in BioProduction, thus enabling the end users (contract manufacturing organizations and biopharmaceutical companies) to shorten their cell line engineering processes, stabilize production yields and thus improve the quality and features of the final product.

In the long term, Cellectis intends to become the global leader in genome engineering. To this end, Cellectis is seeking to establish its rational genome engineering approach (based on meganucleases with modified specificity) as an industry standard.
In the short and medium term, Cellectis intends to achieve profitability by commercializing its technology (primarily in the agrobiotech and bioproduction fields) and, in parallel, building its own therapeutic pipeline (thus providing shareholders with medium-and long-term value).
To date, Cellectis has entered into more than 45 deals on its genome engineering technologies with major players in the pharma, biotech and agrobiotech industries. Cellectis is listed on the Euronext Alternext market (ticker code: ALCLS).

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