📰 Novo Nordisk and Valo Health Expand AI Collaboration
The expanded partnership aims to discover up to 20 new therapies targeting obesity, type 2 diabetes, and cardiovascular diseases.
Novo Nordisk NVO 0.00%↑ and Valo Health have expanded their collaboration to develop novel treatments for obesity, type 2 diabetes, and cardiovascular diseases. Announced on January 8, 2025, the agreement builds on a partnership formed in 2023 and now includes up to 20 drug programs instead of the original 11. The collaboration will leverage Valo’s AI-powered Opal Computational Platform and Novo Nordisk’s expertise in cardiometabolic diseases to create new therapies.
This move comes after setbacks with Novo’s obesity drug candidate, CagriSema, which underperformed in clinical trials. As the market for obesity treatments grows, the two companies are racing to develop more effective drugs. Analysts predict the obesity drug market could reach $150 billion within the next decade, adding further urgency to their efforts.
Under the new agreement, Valo will receive an upfront payment of $190 million, with potential milestone payments of up to $4.6 billion. The expanded partnership will focus on obesity, type 2 diabetes, and cardiovascular diseases, aiming to address unmet medical needs using human data and AI insights.
Both companies are optimistic about the future, with the collaboration expected to result in innovative therapies that could transform the treatment of these widespread health conditions. The combination of Valo’s AI platform and Novo Nordisk’s experience in metabolic diseases positions them to lead the next wave of drug discovery.
Source: Novo Nordisk Press Release, Reuters
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