Biotech jobs come to Lenexa; A company that's creating cancer tests will open a lab and collaborate with KU

BYLINE: JASON GERTZEN, The Kansas City Star

"The people we have met here we can really work with."

OncImmune chairman Geoffrey Hamilton-Fairley

Talented cancer researchers and more than $2.5 million in incentives have helped Kansas recruit a British biotechnology company and 120 new jobs.

Executives of OncImmuneof Nottingham, England, said Tuesday that they would establish a new North American headquarters and laboratory in Lenexa. They also have plans to collaborate on research with scientists at the University of Kansasin Lawrence and at the University of Kansas Medical Centerin Kansas City, Kan.

"No question, we are about to take another big step to making Kansas a first-class center for cancer research," Kansas Gov. Kathleen Sebelius said when announcing OncImmune's arrival.

OncImmune has developed blood tests that company executives said can detect breast cancer years before it would be seen with a mammogram or other medical imaging procedure. The company plans to develop the technology further so that tests are available commercially by the end of 2007 or early 2008, said Geoffrey Hamilton-Fairley, OncImmune's chairman.

When the company began seeking a U.S. location about a year ago, the initial focus was directed to regions enjoying higher-profile reputations as biotechnology hotbeds, Hamilton-Fairley said.

"I would not have given Kansas a hope at the start," he said.

But OncImmune executives were swayed as they met with KU researchers such as those at the school of pharmacy, the medical center and the Higuchi Biosciences Centerwho are doing innovative work to detect and treat various cancers. The support of IBT Reference Laboratory, a Lenexa lab that provides research and testing services to pharmaceutical and biotechnology companies, also was important.

OncImmune will locate its operation at IBT.

"We needed to find a place with compatible world-class science," Hamilton-Fairley said. "The people we have met here we can really work with."

Tony Barnes, OncImmune's chief executive, previously worked at Marion Laboratories in addition to holding management positions at companies such as Abbott Laboratoriesand Immunicon Corp.

The Kansas Technology Enterprise Corp. will provide at least $45,000 to assist OncImmune in seeking federal grants. The Kansas Department of Commerce continues to discuss financial incentives it will provide, depending on how many jobs the company commits to creating in the state.

OncImmune executives said they intend to begin hiring in about two months and, over about four years, build a staff here of at least 120 scientists, technicians and others.

Hamilton-Fairley said a $2.5 million package coming from the Kansas Bioscience Authoritymade Kansas stand out from other regions.

The bioscience organization will provide $500,000 to fund two or three research projects, said Clay Blair, chairman of the bioscience authority.

An additional $2 million will be provided as a loan to help OncImmune equip its laboratory in Lenexa. The loan can be forgiven depending on whether the company reaches employment milestones.

OncImmune will advance two primary areas that have been emphasized as the Kansas City area bolsters its biotechnology economy, Blair said.

"It encompasses university research and private-sector economic expansion," Blair said.

Kansas officials said research projects with OncImmune also will support the state's goal to gain recognition by the National Cancer Instituteas a top cancer research and treatment center.

"What is coming here to Kansas is technology and intellectual property that will allow us to become a worldwide player in cancer research," said Robert Marcusse, president and chief executive of the Kansas City Area Development Council, which had a lead role in recruiting OncImmune.

OncImmune at a glance Its blood tests hold hope for early breast cancer detection. New North American HQ planned in Lenexa. Staffing it will bring at least 120 jobs. Research collaboration with KU and University of Kansas Medical Center planned.

To reach Jason Gertzen, call (816) 234-4899 or send e-mail to jgertzen@kcstar.com.