Ricardo Ferreira

Virgílio Loureiro

Sara Monteiro

Moving IP from Universities to spin�offs: a smooth or bumpy road?

The case of Problad

Sara Monteiro, CTO, CEV SA

Introduction

NE

CE

SS

AR

YF

UN

DIN

G

BASIC RESEARCH

APPLIED RESEACH

1991 2000 2006 2008 2010

FUNDING

F.C.T.

FUNDING

AdI

FUNDING

COTEC

FUNDING

PRIVATE

1 COMERCIAL AND INDUSTRIAL DEVELOPMENT: CEV CONSTITUTION

2 SETTING UP OF PILOT AND INDUSTRIAL PLANT

Necessary funding from discovery to the market

SHORT TERM

OBJECTIVES1

LONG TERM

OBJECTIVES 2 COMMERCIALIZATION

DEATH VALLEY

Introduction

Seventeen years of research led to the discovery of Blad, a remarkable multifunctional polypeptide, and allowed the development of a new kind of fungicide.

During those years only two accidental discoveries have been made:

- The discovery of the polypeptide Blad, in 1991;

- The observation, in 2005, that Blad has a plant growth promoter activity.

The anti-fungal activity and the Blad enormous potential as a fungicide were deducted, and non accidentally discovered, from the experimental results accumulated during those years.

Fourteen years of basic research (1991 to 2005) clearly support the experimental results observed nowadays in field trials.

Research and development

2000 – The Blad polypeptide was known and it showed important biochemical activities.

2000 – 2003 – Potent anti-fungal activity discovery and determination of the aminoacid sequence. The first in

vitro trials with fungal pathogens.

2003 – 2005 – Greenhouse trials and accidental discovery of Blad plant growth promotor activity.

A B C D

One and a half month-old watermelon plants were spryed with: (A) Water (control);(B) Lupinus extract containing 100 µg protein/mL; (C) Commercially availablebiostimulant, applied under the conditions recommended by the manufacturer; (D)Problad (200 µg protein/mL). The plants were photographed after two weeks.

We had a good idea and a potential application of a product developed from research

Publishing vs. patenting?

Contact Agrochemical companies?

Research and development

2005 - COHiTEC stage 1- project submission

2005 – 2007 - COHiTEC stage 2

GOAL:

Build foundations to generate business from the knowledge generated by the researchers

IDEA DEVELOPMENT

STAGE I

COHiTEC – Stage 1

BLAD Polypeptide

PROBLAD Fungicide

projectOutcome:

Business project

• 4 month long trainingprogram

• TEC approach (NCSU)

• Multidisciplinary teams (researchers, MBA students, executives)

COHiTEC – Stage 2

PROBLAD

Project

Interview

Cooperation rules

Contract

• IP License

• COTEC support

Business model analysis meeting

Virtual Company

Business plan

Beauty Parade

• Promoters

• Co-promoters

STAGE II

PROBLAD VIRTUAL COMPANY

COHiTEC – Stage 2

COHiTEC – Stage 2

• Risk acknowledgement

• Market knowledge

• Competition identification (current and future)

• Definition of assumptions and milestones

• Value creation for investors

PROBLAD VIRTUAL COMPANY

Ricardo FerreiraProject promoter

Sara MonteiroProject promoter

Virgílio LoureiroProject promoter

João Silveira Lobo

Chairman

Carlos Moreira da Silva

Board member

Pedro Vilarinho

CEO

BEAUTY PARADE

• Presentation of binding offer

• Management team

• IP valuation

• Exit strategy

COHiTEC – Stage 2

. Problad Project presentation to potential co-promoter

. Business plan submission to interested investors

. Presentation of non-binding offers

. Selection of potential co-promoters and negotiation

PROBLAD TIMELINE

2006 2007 2008

STAGE J F MA MJ J A S O N D J F MA MJ J A S O N D J F MA MJ J A S O N D

Virtual company setting up

ISA IP negociation

Business Plan

Beauty Parade

Investors negotiation

First production unit

CEV SA constitution

Pilot Plant

Problad @ Inovisa, UTL

Collaboration with ISA has been constrained

by three main factors, namely:

• Lack of experience in IP licensing from ISA.

• % of royalties to the University?

• Support services?

PROBLAD FUNDING

2006 2007 2008

J F MA MJ J A S ON D J F MA MJ J A S ON D J F MA MJ J A S ON D

COTEC FUNDING

PROMOTORS FUNDING

NEOTEC FUNDING

INVESTORS FUNDING

75.000€

15.000€ (SA constitution)

75.000€

12.4M€

50% promoters50% investors

INVESTORS:

José Romão de Sousa (PROMOTOR)

Mário Pinto(CHANGE-PARTNERS)

João Borges de Oliveira(COFIHOLD)

F-HITEC(ES Venture)

CEV, SA

2009 – PILOT PLANTSara Monteiro

Carlos Cunha

Alexandra Carreira

Luís Batista

João Duarte

Sérgio Soares

Mário Araújo

Ana Marques

Ana Rosa

CEV, SA

PROBLAD - THE BIOFUNGICIDE

Mode of action

Problad is an extract prepared from Lupinus seedlings

. Natural origin

. Potent antifungal activity against a large array of fungi

. Rich in lipids, proteins, amino acids and carbohydrates

. Plant growth promoter activity

. No toxicity to man, animals and the environment

. Edible to man and animals

PROBLAD - THE BIOFUNGICIDE

Efficacy in Field trials Tomato

PROBLAD - THE BIOFUNGICIDE

BEFORE PROBLAD 2 WEEKS AFTER SPRAYING

Efficacy in Field trials

PROBLAD - THE BIOFUNGICIDE

GRASS LAWNS

CEV – Biotecnologia das plantas, S.A.

Production at medium scale- 2007

CEV – Biotecnologia das plantas, S.A.

PILOT PLANT- 2008

RESEARCH AND DEVELOPMENT FUNDING:

BUSINESS DEVELOPMENT FUNDING:

RESEARCH AND DEVELOPMENT UNITS:

ACKNOWLEDGMENTS

ACKNOWLEDGMENTS

RESEARCH:

S

Tulasi Baru Rajasekhar

Regina Maria Freitas

Artur Ricardo Teixeira

Claudia Santos

Paula Cristina Ramos

Emanuel Franco

Sérgio Soares

DEVELOPMENT:

COTEC:

Pedro Vilarinho

Carlos Moreira da Silva

João Silveira Lobo

Hugo Costa