In this edition:
Redundant Power Coming Soon to UK's Coldstream Research Campus
Kentucky, Argonne Partner to Help Build Domestic Battery Industry
UK Creates Consortium to Reduce Coal Carbon Dioxide Emissions
New Clinician Innovation Program Focuses on Medical Devices and Diagnostics
KSBDC Recognizes 10 High Performing Kentucky Businesses
B2B Event Brings Faculty Entrepreneurs Together With Bluegrass Angels
UKEconDevNews is an electronic publication from the UK Office for Commercialization & Economic Development covering technology commercialization, Coldstream Research Campus and business development.
UKEconDevNews is read by 1,750 stakeholders in UK's economic development mission.
Publisher, Len Heller
Editor, Deb Weis
Managing Editor, Sarah Magargee
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www.EconDev.uky.edu
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Archived editions:
1st Quarter 2009
The University of Kentucky was pleased to partner with Kentucky Governor Steve Beshear and his economic development cabinet last month in Atlanta for the annual international biotechnology convention known as BIO. Special thanks to Dr. B. Mark Evers, UK's new director of the Markey Cancer Center and Dr. Jeffrey Moscow, Pediatrics Hematology-Oncology chief, who joined us for a business recruitment meeting during BIO. BIO is just one of our many initiatives and programs to advance technology commercialization, Coldstream Research Campus and business development for the university, the Lexington-Bluegrass Region and the Commonwealth of Kentucky.
Len Heller
Vice President, UKCED
President and CEO, KTI
Redundant Power Coming Soon to UK’s Coldstream Research Campus
Coldstream Research Campus will begin offering redundant power and fiber optics by early next year. Kentucky Utilities is currently constructing a new substation off Georgetown Road and an overhead route to the university’s research campus at the intersection of I-75 and I-64. Construction will begin later this summer on an underground duct bank system to distribute power and data strategically throughout the 735-acre campus.
Redundant power helps ensure that if one source of power malfunctions, a second one can pick up the slack without interruption. Fiber optics provide some of the highest connection speeds possible today which lets companies share large amounts of data quickly with suppliers, partners, researchers and customers.
“We know that redundant power and fiber optics are important to the types of companies we want at Coldstream - data and technology centers, labs with sensitive equipment, testing facilities, and financial centers,” says Len Heller, UK vice president for Commercialization & Economic Development, whose office includes Coldstream. “Adding redundant power to Coldstream will position us in the top tier of research parks in the Midwest.”
Vince Kellen, UK’s new CIO for Information Technology, says “Leading 21st century businesses have two distinct features - they are data-intensive and they have a need to collaborate closely with many other researchers and companies across the globe. This requires a reliable facilities infrastructure that is immune to the vagaries of power supply and that is highly connected to the Internet and to other data centers worldwide.” Kellen and Heller are working on plans for the university’s next generation data center at Coldstream.
The redundant feeds project will be financed primarily with a $5.5 million grant from the Kentucky Economic Development Finance Authority’s High-Tech Investment Pool. Heller, as president and CEO of Kentucky Technology Inc., UK’s for-profit corporation, is overseeing the KEDFA grant. According to Deborah Clayton, who serves as commissioner of the Department of Commercialization and Innovation in the state economic development cabinet, “The University of Kentucky’s Coldstream Research Campus is an impressive economic development asset.”
Work has been underway for the past year on a new vision and master development plan for Coldstream. “This infrastructure improvement will be an important asset for marketing the new Coldstream and recruiting companies, specifically high-tech companies, to our campus” says Coldstream Executive Director Tina Carpenter. “We also have companies at Coldstream now that need a redundant electrical power and fiber optic supply.”
“Coldstream is poised to be a premier Kentucky location for high-tech businesses including our own UK spin-off companies,” says UK President Lee T. Todd Jr. “We simply do not have enough space in our campus incubators for all of our faculty who want to start companies. This is actually a good problem and Coldstream is the answer.”
Kentucky, Argonne Partner to Help Build Domestic Battery Industry
In the photo: Steve Lipka, carbon materials expert at CAER, will be one of the UK researchers working at the new national battery lab. Lipka creates electrochemical capacitors from cheap sources of carbon like plastic bottles.
Photo courtesy of Odyssey, UK's research magazine. 
The University of Kentucky is partnering with the Commonwealth of Kentucky, the University of Louisville and Argonne National Laboratory to establish a national Battery Manufacturing Research and Development Center.
The national research center, which will be located on Iron Works Pike in Lexington, near the UK Center for Applied Energy Research (CAER), will develop a domestic supply of advanced battery technologies for vehicle applications that will help secure U.S. energy independence, reduce greenhouse gas emissions and strengthen the economy. It will also contribute to U.S. President Barak Obama’s goal for one million plug-in hybrid electric vehicles on the road by 2015.
“The center will initially focus on lithium-ion battery manufacturing R&D,” says Mark Peters, deputy associate laboratory director of Energy Sciences and Engineering at Argonne. “In the long-term, the center would help in the development of technologies that would enable a significant increase in energy densities, including lithium-air and zinc-air systems for vehicle applications and advanced batteries for cost efficient and long-life grid power storage applications.”
UK carbon materials researcher Steve Lipka and his team at CAER will join U of L and Argonne researchers to develop these high-efficiency batteries and technologies. UK will also contribute expertise from the Center for Manufacturing.
“The University of Kentucky is excited to participate in the development of a national battery research center with Argonne,” says UK President Lee T. Todd Jr. “Not only will this partnership be a great educational opportunity for students, it will also give them the chance to contribute to the creation of what will be a strong battery manufacturing industry in the United States.”
Read Odyssey magazine’s article on Steve Lipka’s research It Pays to Be a Cheapskate
Read Kentucky, Argonne Partner to Help Build Domestic Battery Industry press release
About Argonne National Laboratory
Argonne is a multidisciplinary research facility and the nation’s leading federal lab for transportation-related research and development. Laboratory scientists and engineers perform basic and applied research on advanced materials and diagnostics for electrodes and cells; model battery life expectancy and electrochemical cell design and performance; and test cell and battery systems. Argonne will dedicate research and other staff to support the battery research center in Lexington.
UK Creates Consortium to Reduce Coal Carbon Dioxide Emissions
The University of Kentucky Center for Applied Energy Research (CAER) has created a consortium with government agencies, electric utilities and their research organizations to find cost-effective technologies to reduce and manage carbon dioxide emissions from coal-fired power plants. The consortium builds on a carbon management research partnership between CAER and E.ON US, an electric and natural gas company headquartered in Louisville, Ky., which began in 2006.
“This consortium is an ideal example of the public and private sector partnering to solve one of Kentucky’s – and the nation’s – major problems,” says UK President Lee T. Todd Jr. “In creating this partnership, Kentucky is asserting itself as a national leader in developing the next-generation technologies that will help reduce America’s carbon footprint. This is an important step for the future of Kentucky’s energy industry.”
The consortium is designed to split the cost of research into large-scale carbon 
dioxide capture systems, which is often too expensive and high risk for a single utility or government agency to undertake. Kentucky state government and industrial partners will provide an estimated $24 million over 10 years to support the research.
“Most experts agree that carbon limitations will be imposed on fossil fuel-burning power plants in the future. Teaming with the state program will benefit the partner utilities in their response to a carbon-constrained world,” says Rodney Andrews, director of CAER.
Rosa Yang, vice president, Office of Innovation at the Electrical Power Research Institute, the national research arm of the utilities, says, “The challenge of reducing climate change gas emissions from the electricity generation sector requires the skills and creativity of a wide range of scientists and engineers — those in academia, private research organizations, industrial process suppliers, and the power industry. The CAER collaboration is a role model for other partnerships that EPRI intends to create or join.”
The founding industry members of the consortium are E.ON US, Duke Energy, Kentucky Power Co., East Kentucky Power Cooperative and the Electric Power Research Institute. Each member will contribute $200,000 a year to the consortium. The Kentucky Department of Energy Development and Independence will provide a one-to-one match of up to $1 million annually, as approved by the Kentucky General Assembly in the 2008 budget.
Read entire University of Kentucky press release
About the Center for Applied Energy Research
CAER is one of the University of Kentucky's multidisciplinary research centers. Its energy research provides a focal point for coal and environmental research in Kentucky. Research areas of expertise are biofuels and environmental catalysis, carbon materials, clean fuels and chemicals, electrochemical power sources, environmental and coal technologies, and power generation and utility fuels. The CAER is a non-academic unit that is staffed by professional scientists and engineers, has extensive interactions with faculty and students, and partners with industry on analytical testing, problem solving and collaborative research.
New Clinician Innovations Program Focuses on Medical Devices and Diagnostics
UK HealthCare professionals will hear about the university’s new customized commercialization process at the first annual Clinician Innovations Day on August 4. Clinicians will also find out how to work with Therix Medical, a new privately funded business development initiative set up to bring clinicians’ ideas to market. Clinician Innovations Day features keynote speaker Dr. Thomas J. Fogarty, inventor of the first balloon embolectomy catheter and professor of surgery at Stanford, and UK President Lee T. Todd Jr. The clinician innovations business development program and event is sponsored by the UK Office for Commercialization & Economic Development and Therix Medical.
KSBDC recognizes 10 high performing Kentucky businesses
Top image, the 2009 Kentucky Pacesetters. Bottom image (from left) UK President Lee T. Todd Jr., Tom Masterson, Becky Naugle, KSBDC state director.
The Kentucky Small Business Development Center (KSBDC) inducted 10 businesses into the second class of Kentucky Pacesetters at the Capitol Rotunda in May. KSBDC created the Pacesetter award program last year to recognize Kentucky businesses that are changing the economic landscape of the Commonwealth by introducing innovative products, increasing sales and/or production and boosting employment. All inductees meet the minimum qualifications of a second stage business, including minimum sales of $500,000, six or more employees, and three or more years in business.
This year’s Kentucky Pacesetters are: Bella Rose, Lexington; Celerity Automation, Paintsville; Chaney’s Dairy Barn, Bowling Green; City Wide Maintenance of
Cincinnati, Fort Wright; Digitech Services Inc., Glasgow; Light’s Enterprises, Ashland; Comfort Keepers, Owensboro; T.E.M. Electric Co. Inc., Louisville and Lexington; Taylor’s Concrete Cutting Services LLC, Franklin; and The Combs Group-CBJ Machine & Hydraulics, Pineville.
2009 Pacesetter recipient Tom Masterson, owner of T.E.M. Electric Co. Inc., was recognized by U.S. President Barack Obama during a speech hailing small businesses across the country. Masterson founded T.E.M. 10 years ago in his living room. The company has grown to employ 75 people, maintain offices in Lexington and Louisville, and has generated more than $12 million in revenue. President Obama’s speech was part of the 46th annual National Small Business Week recognizing the nation’s top entrepreneurs.
The KSBDC is part of the UK Office for Commercialization & Economic Development.
B2B event brings faculty entrepreneurs together with Bluegrass Angels
The spring “Bench2Business” networking event drew more than 100 faculty entrepreneurs and 
specially invited guests, members of the Bluegrass Angels. UK President Lee T. Todd Jr. recognized 46 faculty in the categories of commercialization funding, new licenses, new ASTeCC companies and ASTeCC “graduates.” Faculty making presentations included Kozo Saito (engineering), founder of the Institute of Research for Technology Development; Braden Lusk (mining engineering); Peter Oeltgen (medicine), founder of Hibernetics; and Bruce Webb (agriculture), co-founder of ParaTechs. Jed Bullard, chairman of the Bluegrass Angel Venture
Fund, also spoke. B2B faculty networking events are held twice a year and are sponsored by the UK Office for Commercialization & Economic Development. The Bluegrass Angels co-sponsored the spring event.
View 2009 Spring "Bench2Business" Program (pdf)
UK monoclonal antibody receives FDA orphan drug status
Using a monoclonal antibody developed at UK, Tolera 
Therapeutics Inc. has been granted “orphan drug status” by the FDA for TOL101 designed to prevent acute rejection of organ transplants. TOL101 is a biologic protein which will safely target T cells, components of the immune system that play a key role in the rejection, and ultimate failure, of transplanted organs. The monoclonal antibody used for TOL101 was developed by John Thompson, MD, director of research at the Lexington VA Medical Center and former UK chair of internal medicine. Orphan drug status, given to drugs intended to treat rare diseases or conditions (affecting fewer than 200,000 people annually in the U.S.), will facilitate TOL101’s entry into the clinic.
Read Tolera Therapeutics' press release
Profile
Coldstream Laboratories Celebrates Second Anniversary
Coldstream Laboratories Inc. (CLI), providing full service GMP small-batch sterile drug product production, has successfully completed its second year in business. Based at Coldstream Research Campus, CLI has manufactured more than a dozen different drug products for pre-clinical through Phase III clinical trials since the $17 million, 20,000 sq. ft. facility has been in operation.
The University of Kentucky created Coldstream Laboratories in 2007 from the College of Pharmacy’s Center for Pharmaceutical Sciences and Technology. “We could not be more pleased that Coldstream Laboratories has achieved important milestones in its first two years of operations,” says UK President Lee T. Todd Jr.
According to Len Heller, UK vice president for Commercialization & Economic Development, who also serves as chair of the CLI board of directors, “Coldstream Laboratories is on track with our business plan objectives, meeting projected revenue and moving toward profitability.”
CLI is working with 25 national and international pharmaceutical and biotech clients and has doubled the size of its technical staff to 65 full time employees to support its drug product development and GMP manufacturing services.
“Our future looks bright,” says Joe Wyse, Coldstream Laboratories president and CEO. “Customers appreciate our work ethic and enthusiasm for helping them meet their goals in clinical trials and generic drug filings. As a result, we are already seeing repeat work from a number of our customers.”
Coldstream Laboratories Inc. is Kentucky’s only sterile pharmaceutical manufacturing facility. CLI uses isolator technology and specializes in cytotoxics, potents and radiolabelled products in sterile, injectable liquid and lyophilized vials, ointments and creams, and oral liquid dosage forms.
Briefs
New UK Affiliated Company: TrackFive Diagnostics’ develops genome-based oncology tests: Using research by Penni Black, founder and assistant professor of pharmaceutical sciences, TrackFive Diagnostics Inc. will develop genomics-based tests to predict how cancer patients will respond to treatment with epidermal growth factor receptor inhibitors for metastatic colorectal cancer, non-small cell lung cancer, head and neck cancers and pancreatic cancer.
New Licenses: UK has issued 17 new licenses to-date in FY 2009. The following UK-affiliated companies hold new licenses:
Merloc LLC, founded by David Atwood, chemistry, is developing multidentate sulfur-containing ligands for binding heavy metals for waste management or environmental cleanup applications. Located in Lexington, Ky., Merloc currently holds two licenses for 2009.
HiberNetics Inc., located in Frankfort, Ky. and founded by pathology professor Peter Oeltgen, is developing treatments for injury caused by the restriction and restoration of blood flow due to stroke or cardiac arrest.
TranSecurity Systems Inc. is developing a milk transport security system that enhances national food security while providing the food transport industry with a system that collects, stores, manages and assimilates data. The company, located in Lexington, Ky., was founded by Fred Payne, biosystems and agricultural engineering.
NanoMed Pharmaceuticals Inc., founded in 2000 by Russ Mumper, formerly of the College of Pharmacy, is developing a bio-adhesive berry gel for oral cancer treatment. NanoMed is located in Kalamazoo, Mich.
New Patents: UK has issued 19 patents to-date in FY 2009. The following UK principal investigators have recently received patents:
Joseph Chappell / agriculture
Malaya Chatterjee / medicine
Uschi Graham / geology
David Hildebrand / agriculture
Daniel Howe / medicine
David Jacques / engineering
George Wagner / agriculture
Nancy Webb / medicine
More News & Developments
Affinity Photoprobes moves R&D to Coldstream Research Campus: Located in a 5,500 sq. ft. manufacturing facility at Coldstream, Affinity uses its patented photoaffinity labeling process to manufacture and distribute photoprobes , which are used by nearly 300 academic research institutions and biotech and pharmaceutical companies worldwide. Photoprobes are used in identifying enzyme and protein differences between normal and diseased tissues, in clinical testing of the effect of toxic compounds on tissues, and for the rapid production of radio labeled antibodies and super antibodies.
AllTranz competes for national funding awards: AllTranz is one of 50 companies from the technology, cleantech and life sciences sectors to compete for funding at the 2009 New York Venture Summit, the premier industry gathering connecting senior executives of early stage and emerging growth companies with venture capitalists, private investors, investment bankers, corporate investors and strategic partners. Founded in 2004 by UK College of Pharmacy faculty researcher Audra Stinchcomb, AllTranz is set to begin human clinical trials on a next generation osteoarthritis pain management product transdermally delivered through a gel.
Clean coal technologies company moves into ASTeCC: 3H Company LLC specializes in the research and development of clean coal technologies, with an emphasis on CO2 capture. Current partners include Nexant Inc., Bechtel Power Corporation, Western Kentucky University and Sask Power.
Paige Shumate Short named leading business woman: Paige Shumate Short, founder of Four Tigers LLC and Berryceuticals, was one of 20 women spotlighted in Business Lexington’s “Leading Women in Central Kentucky” special edition. Short’s two UK-affiliated companies are based on the disease-fighting properties of the blackberry and are creating new markets for Kentucky farmers.
Red Herring magazine names Mersive as a top tech venture: Mersive Technologies, a leading display technology company, was named one of the “Red Herring 100 North America,” a prestigious list recognizing private technology ventures for more than 10 years. Founded in 2004 and based on research from UK’s Center for Visualization and Virtual Environments, Mersive offers installations in commercial and military simulation environments and education, engineering and R&D organizations. The Red Herring award is based on a company’s technological innovation, management strength, market size, investor record, customer acquisition, and financial health.
Transposagen receives federal and state funding; enters Japanese market: Transposagen Biopharmaceuticals recently received $395,000 in SBIR funding from the NIH and the Kentucky Department of Commercialization and Innovation. Transposagen is creating thousands of unique knockout rat lines that mimic a human disease and are a crucial component of drug development. In addition, Transposagen has received non-exclusive rights to market their products in Japan with Trans Genic Inc. Transposagen is located in UK’s ASTeCC campus incubator.
UK start-up companies featured in economic impact story: Founded in UK research laboratories, AllTranz, NanoTech Solutions and Scout Diagnostics were featured on the UK homepage in a feature on the economic impact of the university’s spin-off companies. According to the Lexington Venture Club survey of Bluegrass early-stage companies, 39 UK-affiliated companies attracted a record $55 million in venture funding, employed a total 239 people, created 98 new jobs, offered an average fulltime salary of $70,000, and reported combined annual revenue of $16.4 million in 2008.
Professional development webinar series offered: The Kentucky Society for Human Resource Management (KY SHRM) and the UK Institute for Workplace Innovation (iwin) are partnering to offer a series of professional development webinars for Kentucky employers over the next year. Each seminar will be submitted for recertification hours through the HR Certification Institute.