Dutch biotechnology firm Crucell has discovered an antibody that protects ferrets against the Sars virus and which could be developed for human use, the company said on Friday.
Crucell said in a statement that a study on the antibody's effectiveness would be published in the next edition of The Lancet medical journal, and the news sent the shares in the small-cap firm nearly 12 percent higher.
Severe Acute Respiratory Syndrome (SARS) infected more than 8,000 people in nearly 30 countries last year and killed nearly 800 following an initial outbreak in southern China in 2002, according to the World Health Organisation (WHO). There is no cure for the disease, which has also been reported in Canada, France, Taiwan and Malaysia.
Crucell said tests on ferrets had demonstrated that a human monoclonal antibody developed with its PER.C6 technology - the basis for its research to fight diseases from Ebola to AIDS - had prevented the animals from being infected with Sars.
"(This study) may pave the way for the development of this antibody for human use," Crucell said. "Such antibody treatment may help to prevent the spread of Sars and may also ameliorate serious disease complications of Sars."
Crucell ended its oncology programme in 2003 and redirected the focus of its antibody discovery group to infectious diseases. Analysts have been upbeat about the small-cap firm's results even though it continues to operate at a loss.
But forecasts that losses will continue to widen have not stopped Crucell shares from adding nearly 35 percent so far this year as some traders and analysts say the company's product pipeline could pay off big for investors.
Crucell shares were up 10.75 percent at 7.42 euros by 1002 GMT, their highest level in more than two months.
"We have contacted the company and Crucell believes the Sars market could size around $400 million. We would like to point out that if Crucell is the first to market, it could obtain the lion's share of this market," merchant bank Kempen & Co said.
WHO also said earlier this month that four volunteers in China were taking part in the first human clinical trials of a Sars vaccine that had previously been tested in Rhesus monkeys.
Crucell's research is based largely on its PER.C6 gene technology, which uses human cells as a platform to develop treatments and vaccines for diseases such as HIV and cancer.