ViaLactia Biosciences and Orion Genomics announce forage plant genomics alliance

Auckland, New Zealand, and St. Louis, Missouri
May 31, 2001

ViaLactia Biosciences (NZ) Ltd. and Orion Genomics LLC today announced they have entered into a multi-stage genomics alliance to develop improved varieties of forage plant species for the pastoral agricultural industries, and to develop hardier and higher yielding row crops. Financial terms of the alliance were not disclosed.

Under the terms of the agreement, Orion Genomics will use its proprietary GeneThresher™ technology to sequence and identify the complete gene set of a key forage grass species. Together Orion and ViaLactia will then develop specialized genome research tools including DNA microchips, genetic markers (SNPs) and sequence databases. ViaLactia, using conventional selective breeding methods, will use these tools to achieve more rapid and precise forage plant improvements in areas such as increased digestibility and protein content. Orion will leverage forage plants to make improvements such as increased tolerance to stress and higher yield in row crops including corn, wheat and soybean.

"The pastoral industries in New Zealand contribute over 40 % of the country's export earnings.

Forage plant improvements will have an immediate and positive economic impact," notes Kevin Marshall, Managing Director of ViaLactia Biosciences. "This alliance will enable ViaLactia to make the first comprehensive genome analysis of pasture plants and thereby has the potential to contribute significantly to the knowledge economy in New Zealand," Dr. Marshall adds.

"Orion's GeneThresher™ discovery platform, which separates repetitive 'junk DNA' from genes, is a perfect fit with ViaLactia's research objectives to improve forage plant species," says Nathan Lakey, President and Chief Executive Officer of Orion Genomics. "Identifying the complete gene set, which accounts for as little as 10% of the genome sequence, enables researchers to design precise functional assays and facilitates the rapid movement from gene sequence to gene function and then onto trait discovery."

Robert A. Martienssen, a Scientific Founder and Chief Scientific Officer of Orion Genomics and Professor at Cold Spring Harbor Laboratory, adds, "Forage grasses have retained a variety of key genes that have been lost from many crops over time. These genes were selected in the wild, are responsible for hardiness and include drought resistance, broad spectrum disease resistance and perennialism. Orion Genomics aims to re-introduce these historical traits into major commercial crops."

Based in Auckland, New Zealand, ViaLactia Biosciences, a wholly owned subsidiary of the New Zealand Dairy Board, is a leading player in the global development and marketing of biotechnology based products, services and technologies for the dairy industry.

Orion Genomics, LLC, based in St. Louis Missouri, is an agricultural research company dedicated to the improvement of crops through a better understanding of the structure and function of plant genes. Orion's GeneThresher™ technology provides rapid discovery of genes responsible for important agronomic traits in crops such as corn, wheat and soybean at a fraction of the cost and time of alternative gene discovery methods.

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