Tanox


Tanox was a biopharmaceutical company based in Houston, Texas. The company was founded by two biomedical research scientists, Nancy T. Chang and Tse Wen Chang in March 1986 with $250,000, which was a large part of their family savings at that time. Both Changs grew up and received college education in chemistry in National Tsing Hua University in Taiwan and obtained Ph.D. degrees from Harvard University. For postdoctoral training, Tse Wen shifted to immunology and did research with Herman N. Eisen at the Center for Cancer Research, M.I.T.. The two Changs successively became research managers and worked with a range of monoclonal antibody projects in Centocor, Inc. based in Malvern, Pennsylvania from 1981 to 1985. The Changs were recruited by Baylor College of Medicine toward the end of 1985 and offered faculty positions in the Division of Molecular Virology. Soon after their arrival, they were encouraged by a high-ranking Baylor official and local business leaders to start a biotech venture in Houston. This was in a period of time when the economy of Houston was in slump as the result of the collapse of the oil industry.
The Changs rented a corner of about 2000 square feet in a large empty warehouse building on Stella Link Road, located four miles away from the Texas Medical Center, and built laboratories. In 1987, Tanox obtained a $4 million cash infusion from the legendary biotech venture capitalist and investor, Moshe Alafi, who was a founding investor of Cetus, Amgen, Biogen, and a few other successful biotech companies. Nancy was the Chairman, President, and CEO of Tanox in its 21-year history, while Tse Wen was responsible for creating most of the company's proprietary technology and patents. Tanox's major technology was based on a series of inventions and a family of dominant patents, most notably those relating to the "anti-IgE therapy", the "migis concept", and the "anti-CεmX approach", that pertained to the use of humanized antibodies for targeting immunoglobulin E and IgE-expressing B lymphocytes for the treatment of allergic diseases.
Tanox was able to recruit many talented scientists, bioengineers, and other professionals, many of whom from the Texas Medical Center. Tanox held an initial public offering and was listed in the NASDAQ in 2000. It eventually occupied the entire warehouse building and established additional R & D facilities in the adjacent land for carrying out various therapeutic antibody programs. Many researchers grew to be top-level research managers in pharmaceutical and large biotech companies.
Tanox became the first major acquisition of Genentech in an all-cash buyout deal in August 2007. The acquisition of Tanox has boosted Roche/Genentech’s product pipeline substantially. In addition to the enhancement of the anti-IgE franchise by the increased rights on Xolair and by the potential utility of TNX-901, the other pipeline products that have gained considerable prominence include TNX-355, a unique anti-CD4 antibody for treating AIDS, TNX-650, an anti-interleukin-13 antibody for treating asthma, and TNX-224, an Fab fragment of a humanized antibody against Factor D of the human immune complement system to be tested for treating geographic atrophy associated with dry age-related macular degeneration. Based on Tanox’s invention of the “anti-CεmX approach”, Genentech is developing Quilizumab, an antibody specifically targeting mIgE on B cells, for asthma and allergic diseases.

The anti-IgE program

Tanox started the "anti-IgE therapy" program and developed a prototype antibody candidate in 1987, and subsequently converted the mouse antibody candidate into a chimeric form and obtained crucial set of data on the antibody in 1988-89. The Tanox' anti-IgE antibodies were designed to target free IgE in blood and IgE-expressing B lymphocytes for the purpose of intercepting the IgE-mediated pathway, without binding to IgE already bound by the high affinity IgE receptors on mast cells and basophils or bound by the low-affinity IgE receptors on many cell types. An ordinary anti-IgE antibody, if were injected into a patient, would cause a massive activation of mast cells and basophils and hence anaphylactic shocks. By 1989, Tanox had collected data showing that their proposed therapeutic lead anti-IgE antibody could not induce the activation of basophils isolated from the blood of any of many extremely allergic individuals, even under the most permissive conditions.
In order to secure funding to develop the anti-IgE program, the Changs were busily engaged throughout 1989 in trying to find a corporate partner among about 25 pharmaceutical and biotech companies, who were willing to meet with them, to co-develop the anti-IgE therapeutic program. In 1990, Tanox signed a corporate partnership with Ciba-Geigy to jointly develop the anti-IgE program. The companies named the antibody candidate CGP51901, which humanized form was later created and named TNX-901 or talizumab. With the funding from Ciba-Geigy, Tanox established a 500-liter cGMP bioreactor plant in a space adjacent to the research laboratories in the warehouse building and produced CGP51901 for phase I and II clinical trials.
The joint team from Tanox and Ciba-Geigy received "investigational new drug" application approval, which is required for the first testing of a new substance in human subjects, for an anti-IgE antibody for the first time, from the U.S. Food and Drug Administration in 1991. This was an important milestone in the development history of the anti-IgE program; Tanox scientists had anticipated major difficulty to receive IND approval for an anti-IgE antibody from the FDA, even though they had experimental data to show that CGP51901 would act differently from an ordinary anti-IgE antibody. Subsequently, Tanox/Ciba Geigy carried out a dose-escalating, double-blinded, placebo-controlled single-dose phase I clinical trial on 33 pollen-sensitive subjects with elevated serum IgE levels in Southampton, England. After resolving a few unexpected clinical findings, mainly the accumulating IgE and anti-IgE immune complexes, from the phase I trial, Ciba-Geigy and Tanox ran a successful phase II trial in 153 patients with severe seasonal allergic rhinitis toward mountain cedar pollens in three medical centers in Texas in 1994-1995. The positive clinical trial results, which showed increasing efficacy of CGP51901 over three different dosages in improving nasal and ocular symptom scores, impressed the researchers and clinical investigators working on a similar anti-IgE program in Genentech.
In 1996, after a 3-year long lawsuit between Tanox and Genentech was settled out-of-court, Genentech made its first payment of $16 million to Tanox, and Tanox, Novartis, and Genentech formed a tripartite partnership to develop the anti-IgE program. A humanized anti-IgE antibody from Genentech, omalizumab, with identical key binding characteristics as CGP51901, was chosen by a joint program steering committee for further development, because it had a better developed manufacturing process.
Omalizumab, with the trade name Xolair, was approved by the U.S. Food and Drug Administration in 2003 for use in patients 12 years and older with moderate-to-severe allergic asthma. It was subsequently approved in the European Union and many other countries for patients 12 years and older with severe, persistent allergic asthma.

Antibody therapeutics

Among the humanized antibody drugs Tanox developed by itself or with corporate partners:
Other than the therapeutic antibodies, which target the IgE allergic pathway, immune factors, and CD4, Tanox also possessed several other major patented technologies. Among those, two sets of patents represent landmark inventions in their respectively related fields. Largely because these patents were awarded too far ahead the maturation of the peripheral technologies, they did not bring material financial impact on Tanox. Nonetheless, the creation of these technologies helped germinate the two important fields and enhanced Tanox as a pioneer in the antibody field.