NanoString Technologies Inc. and Lam Research Corp. entered a strategic collaboration to develop NanoString's proprietary Hyb & Seq next-generation sequencing platform.
Hyb & Seq is a single molecule sequencing technology that enables simpler and faster workflow than current sequencing methods because it does not require library preparation, enzymes or amplification.
The objectives of the collaboration are to complete the development of the Hyb & Seq single molecule sequencing chemistry, design and engineer a clinical sequencing instrument, develop clinical assay panels and secure the necessary regulatory approvals.
In addition, the companies intend to explore methods for coupling the sequencing chemistry with advanced semiconductor fabrication processes to optimize the performance of molecular profiling platforms.
Lam will provide up to $50 million in funding to cover the costs of development and regulatory approval over a development period expected to last about three years, as well as advanced engineering and technical support. It will receive a warrant to buy 1 million common shares of NanoString at $16.75 apiece as well as a royalty on all products developed under the collaboration.
NanoString retains all rights to commercialize the resulting Hyb & Seq products, and the parties will share ownership rights in jointly developed intellectual property
Lam Research is a global supplier of wafer fabrication equipment and services to the semiconductor industry.