Potential total transaction valued at more than $1 billion with $65 million in total upfront consideration
Somerville, Mass., September 24, 2024 – Generate:Biomedicines (“Generate”) today announced a multi-target collaboration with Novartis (NYSE: NVS) to discover and develop protein therapeutics across multiple disease areas. The collaboration leverages Generate’s proprietary generative AI platform, “The Generate Platform,” to create potentially first- and best-in-class molecules through AI-based optimization and de novo generation.
The collaboration will combine The Generate Platform, which integrates machine learning with high-throughput experimental validation, with Novartis expertise and capabilities in target biology, biologics development, and clinical development to create novel therapeutics and to accelerate the pace of drug discovery and development.
“We are delighted to collaborate with Generate to explore the promise of generative AI in enhancing and accelerating the discovery of next-generation biologics,” said Fiona Marshall, President of Biomedical Research at Novartis. “This collaboration offers an opportunity to leverage the unique strengths of our respective companies, from target biology and biologics discovery to machine learning/AI and clinical development, in order to bring forward new medicines with transformative potential for patients.”
“Partnering with a world-leading drug discovery and development organization like Novartis allows us to broaden the use of our cutting-edge generative biology platform to tackle even more areas of unmet medical need,” said Mike Nally, Chief Executive Officer of Generate:Biomedicines. “We look forward to working closely with the team at Novartis to continue to demonstrate the transformative potential of programming biology to create better medicines for patients, faster.”
Under the terms of the collaboration agreement, Generate will receive a total upfront payment of $65 million in cash from Novartis, which includes $15 million for the purchase of equity in Generate. Generate is also eligible to receive more than $1 billion in performance-based milestone payments, in addition to tiered royalties up to low double-digits. The number of targets and therapeutic areas are not being disclosed.
About Generative Biology
Generative biology represents a fundamental shift in therapeutic development driven by generative artificial intelligence (AI). This approach creates never-before-seen therapeutic molecules targeting specific biological processes involved in disease that can be modulated with a wide range of protein modalities—from short peptides to complex antibodies, enzymes, and cytokines. The promise of generative biology goes beyond existing proteins found in nature, creating novel proteins that are purpose-built to address specific therapeutic needs. As a result, generative biology promises to leave trial-and-error drug discovery methods behind, ushering in a new era of programmable drug generation.
About Generate:Biomedicines
Generate:Biomedicines is a technology company founded at the intersection of machine learning, biological engineering, and medicine that is advancing a new era of programmable biology to engineer better medicines for patients, faster. The Generate Platform’s infusion of technology into biology allows us to address historically undruggable and hard-to-drug targets as well as known targets in new and more effective ways. Our platform has enabled the generation of a broad pipeline of therapies across multiple therapeutic areas and protein-based modalities, addressing health challenges out of reach of traditional approaches. Founded by Flagship Pioneering in 2018, Generate is a clinical-stage company leading a fundamental shift from drug discovery to drug generation. Learn more at www.generatebiomedicines.com or follow us on X, LinkedIn and YouTube.
Generate Media Contact
Megan McLaughlin
pr@generatebiomedicines.com