Aleurone Corporation today announced the completion of a licensing agreement with Monsanto Company for use of its proprietary ag biotech/genetic engineering technology, which covers any cereal plant (e.g. wheat, corn, barley, rice) that expresses a foreign protein predominantly in the storage portion of the seed. it is anticipated that the technology would be applicable for genetic engineering of a variety of improvements in the nutritional qualities of cereal grains for both animals and humans, for modification of grain components such as starch for commercial applications, and for use of cereal grains as factories for production of commercially valuable proteins, including industrial enzymes and pharmaceuticals.

Under the terms of the agreement, Aleurone will receive up-front funds as well as future royalties on products produced with the technology. Aleurone exclusively licensed the technology incorporated into U.S. patent 5,677,474 and Australian patent 638,409 from Washington University in St. Louis in January, 1988.

"This technology opens up new opportunities for value-added crops for America's farmers, as well as new applications for the cereal industry", said Dr. Rogers, President of Aleurone Corporation. "Our agreement with Monsanto is an important first step in realizing practical results from the genetic engineering of cereal grains."

Plant seeds represent small factories where nutritionally important products such as proteins are made and packaged into a natural time capsule, the storage compartment in the seed. That is why seeds are the major source of food for people and animals. Through genetic engineering, the plant can be instructed to use the same process to make new proteins that are similarly packaged and stored in the seed. One example would be proteins used in medicine for treating diseases; in this case, the valuable proteins would be purified from the seeds. This has been a particularly useful approach with cereal seeds, such as corn, because the storage compartment can easily be separated from the rest of the seed, and because a corn plant can produce huge amounts of the desired protein cheaply, in comparison to other production methods. This is an excellent example of how genetic engineering can bring new value to crops, to make them more than commodities. In the future, similar uses for wheat and barley will be commercialized.

Aleurone Corporation is a privately held agricultural biotechnology company founded in 1988 by John C. Rogers, M.D. the company is focused on licensing of technology for genetic engineering of cereal grains.

Company news release
N2391