Back Issue


reports and analyses of the forces driving
science and technology investment in Canada

copyright 1999, Research Money Inc.

editor: Mark Henderson


Volume 12, Number 12, JULY 29, 1998

How it looks to me.... by Mark Henderson

FEATURE REPORTS | RESEARCH BRIEFS | PERSONALITIES

How it looks to me....
by Mark Henderson, editor, RE$EARCH MONEY Ontario's Privatization Secretariat is an entity unique to Ontario's Harris administration - a regime dedicated to moving public assets into the private sector. Two recent decisions reflect the problems it faces in translating government ideology into reality (see related article).

The secretariat wisely decided that TVOntario, the province's public broadcaster, was best left in the public domain. The ruling was enhanced by the decision to create a new division dedicated to nurturing and testing new technologies for content and delivery. They sided with TVO management's insistence that the network remain public. Bravo.

The same can't be said for its handling of ORTECH Corp (formerly the Ontario Research Foundation), a respected organization that assisted large and small companies in technology adoption. The process has been plagued by delays and chronic underfunding, leaving ORTECH demoralized and emasculated.

Now the operation is being offered up to the highest bidder, with little regard for a client base that includes small, emerging firms. Instead of helping it to develop a specific niche (like its counterparts in Saskatchewan and Alberta), the government is simply disposing of a valuable asset. Privatization may not kill ORTECH, but the damage caused by the process poses many challenges for its new owners and former clients.


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FEATURE REPORTS...

  RE$EARCH MONEY EXCLUSIVE REPORT
BUOYANT ECONOMY AND FOCUS ON INNOVATION FUEL
STRONG GROWTH AMONG CANADA'S TOP-100 R&D PERFORMERS



  Exclusive Feature Report
R&D SPENDING BY TELCOS FAILS TO CAPTURE
WIDE RANGE OF INNOVATIVE ACTIVITIES
  FOUR NCE'S PASS MID-TERM REVIEWS
  INCREASED R&D PERFORMANCE BY HOSPITALS
AND UNIVERSITIES IN SMALLER PROVINCES
HIGHLIGHT LACKLUSTRE YEAR: PMPRB
  ONTARIO PUBLIC BROADCASTER TAKEN OFF
PRIVATIZATION LIST, COULD BECOME HUGE
TEST BED FOR NEW EDUCATION TECHNOLOGIES
  ONTARIO LAUNCHES PROCESS
TO TAKE ORTECH CORP PRIVATE
  ONTARIO CHALLENGE FUND ANNOUNCES
FIRST SLATE OF AWARDS, MORE PENDING
  SPENDING REMAINS AT 10-YEAR LOW
FOR PROVINCIAL RESEARCH ORGANIZATIONS

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RESEARCH BRIEFS

  • Northern Telecom seals US$91 million deal for modules
  • Xenotransplantation chair endowed in honour of Cal Stiller
  • Receptagen approves changes to name and head office
  • ID Biomedical signs MOI with Mitsubishi Chemical Corp
  • Sussex Research signs distribution agreement with Aldrich Chemical
  • International Datacasting receives $1.5 million in financing
  • Helix BioPharma sells DNA testing business to US firm
  • ABIC forms non-profit international foundation
  • TELUS Corp makes major donation to Univ of Alberta


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Northern Telecom seals US$91 million deal for modules Northern Telecom Ltd has completed a major sale of its monolithic microwave integrated circuit modules to Hollandse Signaalapparten BV, The Netherlands. The US$91-million contract will be used as part of Signaal's active phased array radar system for use by the Dutch and German navies. The modules -- hailed as a turning point in Nortel's ability to custom design -- will be produced by its Ottawa-based technology, supply and components group, which has been designing and manufacturing semiconductor, optoelectronic and microwave components for more than 30 years....


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Xenotransplantation chair endowed in honour of Cal Stiller The Univ of Western Ontario has received $1.5 million from Novartis Pharmaceuticals Canada Inc to establish Canada's first chair in xenotransplantation to investigate the feasibility of using genetically-altered pigs in human patients for whom human organs are unavailable. The chair will be named in honour of Dr Calvin Stiller, and is to be situated at the John P Robarts Research Institute in association with the London Health Sciences Centre. A search for a chair holder will be launched in the fall. In 1996, nearly 3,000 Canadians were on a waiting list that is growing 15% annually. The chair is named after Stiller in recognition for his work in the areas of transplantation and anti-rejection medication research....


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Receptagen approves changes to name and head office Receptagen Ltd has received shareholder approval to change its name and head office pending its acquisition of GRN Health International Inc. Receptagen will move its headquarters from Vancouver to Toronto and undertake one or more private placements over the next 12 months to issue up to 100% of the firm's common shares. The closing of the GRN acquisition is conditional upon the completion of a minimum $5-million special warrant offering....


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ID Biomedical signs MOI with Mitsubishi Chemical Corp Vancouver's ID Biomedical Corp has signed a memorandum of intent the distribution of its gene-based tests for the detection of two so-called super bugs with resistance to all commonly used antibiotics. The MOI with Mitsubishi Chemical Corp (MMC) is dependant on negotiation of a definitive marketing and distribution agreement, at which time further details will be announced. MMC is one of Japan's leading diagnostics products suppliers, with a pharmaceutical and diagnostics division focused on R&D of new products....


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  Sussex Research signs distribution agreement with Aldrich Chemical Ottawa-based Sussex Research Laboratories Inc appointed Aldrich Chemical Co, Milwaukee WI as worldwide distributor for its complete line of glycals for complex carbohydrate synthesis targeting the pharmaceutical and biotechnology industries. The carbohydrates will be marketed under the Aldrich brand and sold through its catalogue and distribution network Sussex -- a spin-off of the National Research Council -- will continue to promote quantity sales through current sales and marketing channels....


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  International Datacasting receives $1.5 million in financing International Datacasting, Ottawa, has received $1.5 million in convertible debentures. The investment was made by the Bank of Montreal Capital Corp ($1.25 million) and Capital Alliance Ventures Inc ($250,000), a labour-sponsored venture capital fund....


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  Helix BioPharma sells DNA testing business to US firm Helix BioPharma Corp, Vancouver, is divesting its DNA testing business to Lifecodes Corp, Stamford CT. Lifecodes will pay Helix US$650,000 in 26 monthly installments and an additional $57,000 if Lifecodes has not gone public within five years. The transaction allows Helix to focus on its strengths as a technology development company by redeploying its resources towards proprietary drug technologies and advanced molecular sensing technology....


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  ABIC forms non-profit international foundation The Saskatoon-based Agricultural Biotechnology International Conference has formed a foundation to ensure its continuation. The non-profit ABIC Foundation will establish a board of directors with representation from seven nations, with proceeds used to seed future ABIC events. The next conference is scheduled for Toronto in 2000 with the theme, Agbiotech: The Science of a New Century. FMI: Peter McCann, president Ag-West Biotech Inc. voice (306)975-1939; fax (306)975-1966; email peter.mccann@agwest.sk.ca....


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  TELUS Corp makes major donation to Univ of Alberta TELUS Corp has made a $12.9-million donation to the Univ of Alberta through its Bright Futures Foundation, to establish the TELUS Centre, a showcase for professional learning programs. The TELUS Centre will house instruction and production computer laboratories, digital library resources and global multimedia linkages. It will be located in the U of A's Institute for Professional Development (IPD) and is slated for completion by late 1999. IPD will provide a collaborative R&D forum for partners, clients and content providers to develop and deliver professional education, workplace learning and alternative learning systems. The donation was made as part of the U of A's fundraising campaign and is the largest donation to date....


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PERSONALITIES


Ron Woodward has resigned as president of the Saskatchewan Research Council (SRC) to accept a position as president/CEO of Red Deer College in Red Deer AB. Woodward arrived at SRC three years ago after a lengthy stint as president of the BC Science Council. In all, he spent 13 years in research management and was active in the Association of Provincial Research Organizations. Woodward will move to Red Deer in early September...

The realignment of the executive suite at Newbridge Networks Corp continues apace with the announcement of several new outside appointments to the board of directors. Those stepping down -- all company insiders -- are Peter Sommerer, Peter Madsen and Daniel Rusheleau. The new appointees will be announced at Newbridge's upcoming annual general meeting. Sommerer has been appointed to the Newbridge Chairman's Executive Council, to advise chairman Terry Matthews on internetworking solutions, including those developed by several Newbridge affiliates. Rusheleau will turn his full attention to Newbridge affiliate West End Systems Corp, where he is president and CEO. Earlier this year, Newbridge changed its president, replacing Peter Charbonneau with Alan Lutz, ucts business unit. Charbonneau has formerly group GM with Compaq Computer's communications prodbeen assigned responsibility for developing and managing the strategic direction of the new chairman's council....

Bernard Dumouchel has been appointed DG of NRC's Canada Institute for Scientific and Technical Information (CISTI) unit. Dumouchel has been with CISTI for 11 years, overseeing a number of significant changes to the operation. He has served in a variety of positions including director of resource development and director of operations responsible for document delivery and electronic information services. He received a BA and BLS from the Univ of Ottawa, and an MLS from the Univ of Western Ontario....

Peter Ulrich has been appointed as NeuroVir Inc's first president and CEO. Ulrich joins the Vancouver-based biopharmaceutical company from La Jolla Pharmaceutical Co, San Diego CA, where he acted as executive VP with responsibility for clinical research, business development and operations/manufacturing operations. He has served as CEO at several development-stage firms, and has experience with public and private financings. Ulrich joins NeuroVir as it enters a period of rapid development, with its first product now in Phase I/II clinical trials....

Graham Strachan has announced his intention to step down from his position as president and CEO at Allelix Biopharmaceuticals Inc as soon as a replacement has been identified and hired. As the founder of one of Canada's most successful biopharmaceutical start-ups, Strachan has spent more than 10 years building the business and is seeking a new role with the firm which involves less day-to-day operating responsibilities. A search committee has been established to evaluate external and internal candidates. Strachan has been involved in national biotechnology issues, research networks and organizations for a number of years. He was recently appointed to the board of IBEX Technologies Inc, a Montreal firm developing enzyme-based drugs for the treatment of cardiovascular disease and tissue repair....

Dr Brian Barber has been appointed assistant VP, immunology, for Pasteur Mérieux Connaught Canada (PMCC). Barber joins the firm from the Univ of Toronto, where he was a professor and acting chair of the department of immunology, with cross appointments to the U of T's Institute of Medical Sciences and the Toronto Hospital's Division of Infectious Diseases. Over the past several years, Barber has also collaborated with PMCC, contributing new insights into vaccine design. Barbar received a BSc and MSc at the Univ of Manitoba's department of chemistry, and a PhD from the U of T's department of medical biophysics....


RE$EARCH MONEY -- July 29, 1998
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