Official financial disclosures from Novartis or Generate:Biomedicines

Novartis Partners with Generate:Biomedicines in AI Drug Development Deal Worth Over $1 Billion, $65 Million Upfront

Sep 24, 2024, 12:46 PM

Novartis has entered into a significant partnership with Generate:Biomedicines, a company founded by Flagship Pioneering, to leverage generative AI for the discovery and development of protein therapeutics. The deal includes an upfront payment of $65 million to Generate:Biomedicines, with potential milestone payments that could exceed $1 billion. This collaboration aims to develop protein therapeutics for multiple unspecified disease areas. Generate:Biomedicines' CEO Mike Nally indicated that this deal will bring the company's cash balance to over $350 million. Novartis' commitment to utilizing AI tools for accelerating drug discovery and development is further highlighted by this partnership. Clinical data is expected soon in Covid and TSLP, with more antibodies headed to the clinic.