One of North Carolina’s most high-profile homegrown life science companies, Argos Therapeutics (Nasdaq: ARGS), is about to build a 100,000-square-foot state-of-the-art biomanufacturing facility in the Research Triangle Park.

The Durham biopharmaceutical company, which raised $45 million in a February 2014 initial public offering of stock, is a Duke University spinout started with help from a $10,000 Business Development Loan from the North Carolina Biotechnology Center in 1998.

Argos, which currently employs about 100 people, plans to add 230 more with the RTP manufacturing facility’s construction. It will receive $9.5 million in incentives as well as logistical and planning support from the State of North Carolina, Durham County, the City of Durham, and the North Carolina Biotechnology Center to support the automated production facility.

Developing breakthrough therapies

The company is developing breakthrough immunotherapies that target the unique features of each person’s disease. Its proprietary Arcelis personalized immunotherapies are based on the biology of dendritic cells — the master switches that turn the immune system on and off. The company’s platform technology targets cancer, HIV and autoimmune disorders.

Argos’ lead oncology product candidate, AGS-003, is in Phase 3 clinical trials for the treatment of metastatic renal cell carcinoma. A a second Arcelis-based product candidate, AGS-004, is in Phase 2 testing for the treatment of HIV.

“Argos was initially formed based on groundbreaking research conducted at Duke University and has experienced significant growth in Durham over the past decade,” said Jeff Abbey, president and CEO. “We are pleased to be expanding our operations here with the construction of our new automated manufacturing facility which we believe is critical to the successful commercialization of personalized immunotherapies such as AGS-003. Support for this project is a great example showing how our leaders in state, city and county government are committed to job growth and to enhancing North Carolina’s position as a leader in biotechnology.”

Groups pull together for incentives package
The incentive package from the North Carolina Department of Commerce to support the project totals $7.1 million, including a $4.5 million Job Development Investment Grant, $600,000 in education and on-the-job training assistance, a $1.8 million sales tax exemption on qualifying equipment, and a $200,000 Economic Development Award from NCBiotech.

In addition, the City of Durham and Durham County incentives package totaling $2.35 million includes a cash grant of $1.85 million and $500,000 in on-the-job training assistance.

Argos has entered into a lease with The Keith Corporation of Charlotte to construct the facility on T.W. Alexander Drive in the Durham portion of RTP.

Here’s what some area leaders are saying about the announcement:

“The North Carolina Biotechnology Center has had a long relationship with Argos dating back to the late 1990’s when they had just a few employees. We consider Argos one of North Carolina’s great life science success stories, starting as a local university spinout. We are proud they chose to continue their growth here.”

— Doug Edgeton, president and CEO of NCBiotech

“Durham, known as ‘The City of Medicine,’ prides itself on being on the cutting edge of personalized medical treatment and technology. Argos Therapeutics is one of the many forward-thinking companies that maintain Durham’s position as a leader in medicine.”

— Bill Bell, mayor of the City of Durham

“I am excited to see Argos grow in Durham and I am particularly excited, as are my fellow commissioners, that the company plans to create 236 new jobs and keep 100 existing jobs, offering a broad range of employment opportunities for all segments of Durham’s workforce.”

— Michael Page, chairman of the Durham County Board of Commissioners

“The Durham Chamber of Commerce worked in close cooperation with our Economic Development colleagues — with Durham County, the City of Durham, the North Carolina Department of Commerce, the North Carolina Biotechnology Center, Durham Technical Community College, Duke University, North Carolina Central University with its BRITE Program and North Carolina State University — to make the case that Argos Therapeutics will be most successful here in Durham, North Carolina. We are ecstatic by Argos’s decision to remain here and we applaud their plan to expand and grow in Durham, NC!”

— Lisa Yarborough, Durham Chamber board chair

(Note: Veteran journalist Jim Shamp is director of public relations for the N.C. Biotechnology Center.

(C) NC Biotech Center