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OncoMethylome Sciences SA

This article was originally published in Start Up

Executive Summary

Epigenomics AG may be a big name in the small world of diagnostic start-ups these days because of its recent IPO, but two-year-old OncoMethylome Sciences SA believes it can give the older company stiff competition in the emerging field of DNA methylation-based cancer markers. The company is developing tests for early diagnosis of cancer and stratification of disease treatments, using highly sensitive, cost-effective DNA methylation technologies.

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J&J isn't the ground-shaker in molecular testing that Roche Diagnostics is--so it is forging a different path to becoming a leader in emerging high-potential sectors of the in vitro diagnostics industry. It formed a subsidiary Veridex, dedicated to cancer diagnostics. That subsidiary is assembling a platform of core technologies and recently completed several deals, including in-licensing prostate cancer markers based on methylation, a hot area of research, from start-up Oncomethylome Sciences.

J&J's Franchise in Cancer Diagnostics

J&J isn't the ground-shaker in molecular testing that Roche Diagnostics is--so it is forging a different path to becoming a leader in emerging high-potential sectors of the in vitro diagnostics industry. It formed a subsidiary Veridex, dedicated to cancer diagnostics. That subsidiary is assembling a platform of core technologies and recently completed several deals, including in-licensing prostate cancer markers based on methylation, a hot area of research, from start-up Oncomethylome Sciences.

Molecular Dx as a Hot Spot

Although it's still a small portion of the $30-plus billion diagnostic services and test supplies business, molecular diagnostics is on disproportionately rapid growth curve. Some estimate its revenue growth at 25% a year compared to the overall industry average of 3-5%. Reimbursement is improving and robust new tests are emerging, slowly but steadily.

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