Masteel, Belgian Firm in Biotech Venture

Nov 04, 11:44 PM

Current Headlines: By Zuraimi Abdullah

MALAYSIA Steel Works (KL) Bhd (Masteel), the country's fifth largest steelmaker, has branched out into biotechnology by teaming up with a Belgian firm to produce a cancer-treatment drug for the local and regional markets.

Masteel and partner IBA Molecular have set up Bio Molecular Industries Sdn Bhd to locally produce FDG (18Flourine-labelled fluorodeoxyglucose).

A RM40 million investment has been planned for a production facility in Sepang to make FDG, a much sought-after diagnostic radiopharmaceutical used in PET (Positron Emission Tomography) scans to detect and monitor the treatment of cancer.

Masteel owns 90 per cent of Bio Molecular - which was recently awarded BioNexus status - and IBA, the rest of the shares. IBA will provide the technology.

IBA is the world's largest manufacturer of Cyclotrons, a special equipment to produce a whole range of radiopharmaceuticals including FDG.

Masteel managing director Tai Hean Leng said Bio Molecular would become the first local company to commercially produce FDG once its Sepang facility is operational late next year.

"There are two entities in Malaysia producing a similar drug for cancer treatment, but they are largely making it for in-house use.

"Bio Molecular will be the first dedicated facility in the country to commercially produce FDG for others," Tai added at a briefing on the joint venture in Kuala Lumpur yesterday.

IBA vice president of sales and marketing Olivier Van der Borght and Bio Molecular chief medical director Dr Paul Loh said the Bio Molecular business has great potential. This is because radiopharmaceutical production in Malaysia is at its infancy stage.

"Most of radiopharmacies set up in Kuala Lumpur in recent years are of smaller scale and are located at hospitals where they cater for in-house and local needs, rather than the regional demand," Loh said.

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