Gene editing firm in Durham signs lucrative deal with Novo Nordisk
A fast-growing Durham gene editing company could receive more than $1.92 billion via a new partnership with the global health care firm Novo Nordisk.
Headquartered in Denmark, Novo Nordisk has a significant presence in the Triangle, employing around 1,800 people across two facilities in Clayton and another in Durham. The company manufactures medications and devices with a focus on treating diabetes.
On Wednesday, Novo Nordisk announced it will collaborate with Durham’s Life Edit Therapeutics to develop seven treatment programs for rare genetic disorders as well as cardiometabolic diseases, which include obesity, diabetes and cardiovascular issues.
Founded in 2020, Life Edit is part of ElevateBio, a biotech firm based in Massachusetts. Through a process called base editing, Life Edit alters the human genome by adjusting a single base while leaving the rest unchanged. This can correct for certain mutations that often lead to genetic diseases.
Base editing is similar to CRISPR in that it changes the DNA in the human genome. However, where CRISPR cuts into a strand of DNA to insert or delete a segment, base editing alters the existing DNA.
“Rather than using a pair of scissors, you’re using a pencil,” said Claire Murray, Life Edit’s head of business development and strategy.
In the deal, Novo Nordisk agreed to pay an undisclosed amount to Life Edit upfront and make an equity investment in ElevateBio. Life Edit will then be eligible to receive hundreds of millions of dollars if its programs with Novo Nordisk reach certain development, regulatory and commercial milestones. Novo Nordisk will pay Life Edit up to $335 million for each of its initial two programs and up to $250 million each for the other five.
“We are excited about the opportunity to co-create novel treatments for multiple genetic diseases based on Life Edit’s gene editing technologies,” Marcus Schindler, the company’s chief scientific officer, said in a statement.
Life Edit currently has around 70 employees based in Durham, up from only five less in 2020. Last year, the company moved into the Durham ID building downtown.
With the funding from Novo Nordisk, Murray predicted the company will employ close to 100 people locally by the end of the year.
This story was produced with financial support from a coalition of partners led by Innovate Raleigh as part of an independent journalism fellowship program. The N&O maintains full editorial control of the work.
This story was originally published May 25, 2023 at 2:24 PM with the headline "Gene editing firm in Durham signs lucrative deal with Novo Nordisk."
