Siemens Healthineers Expands Into Molecular Cancer Diagnostics
Siemens Healthineers is broadening its diagnostic portfolio with the acquisition of NEO New Oncology and its next-generation sequencing (NGS) platform. The German startup specializes in the development of both blood-based and tissue-based genomic tests that allow oncologists to better target cancer therapies with less-invasive diagnostics.
NGS technologies provide unprecedented insight into human variation and the mechanics of human disease. NGS advances over the last ten years — which have made the technology faster and lowered its cost — have enabled the development of clinical tools based on genomic sequencing.
“The advent of ultra-high-throughput sequencing is propelling research that was considered impossible only a few years ago and is becoming more widespread in the clinical sector,” said authors of a recent study published in Nature Reviews Genetics. “Thus, rapid and low-cost sequencing is providing physicians with tools needed to translate genomic information into clinically actionable results.”
While current standards in cancer diagnosis require the extraction of a tissue sample, advances in molecular testing solutions can gather more information using less invasive methods. Liquid biopsies analyze small amounts of cell-free DNA from tumors floating in the blood stream, providing a cancer diagnosis that is easier, and often earlier, than is possible with tissue biopsy. Though no liquid biopsy is currently commercially available, analysts from Cowen & Co predict that a successfully launched product would generate $10 billion per year by the end of the decade.
NEO New Oncology has developed multiple molecular profiling assays based on NGS that can be applied to both tissue samples and biofluids. NEOLiquid, launched in November for research purposes only, is a liquid biopsy capable of detecting therapeutically relevant cancer biomarkers in a single blood sample.
Andreas Jenne, CEO of NEO New Oncology, commented in a press release that Siemens Healthineers will help the startup expand into new markets and continue to develop innovative solutions for cancer diagnostics.
Siemens Healthineers, rebranded from Siemens Healthcare earlier this month, experienced double-digit growth in 2015, and Siemens CEO Joe Kaeser remarked in an earnings call that diagnostics showed the greatest potential for future growth. Moving forward in an eventual break with its parent company, Siemens Healthineers has been continuing its M&A strategy, making deals that align with the company’s long-term goals.
“We are focused on expanding our business in three fields: Molecular diagnostics, services, and advanced therapies. NEO New Oncology aligns with these three fields,” said David Stein, head of strategy and innovation at Siemens Healthineers. Sebastian Kronmueller, head of molecular services, added that the company already is working with NEO New Oncology to broaden global reach in key markets.
Last month, Siemens Healthineers announced plans to integrate Thermo Fisher Scientific’s Polymerase Chain Reaction (PCR) system into their Versant kPCR Molecular solution, which will add flexibility to the molecular laboratory’s workflow, according to a press release.
Siemens recently announced a partnership with Case Western Reserve to develop MR fingerprinting technology, a more quantitative approach to MR diagnostics that would make results more reproducible by establishing imaging biomarkers.