GLOBAL – Danish pharmaceutical giant Novo Nordisk A/S has expanded its partnership with US-based Valo Health, Inc. to develop innovative treatments for obesity, type 2 diabetes, and cardiovascular diseases.
The collaboration leverages Valo’s extensive human dataset and AI-powered computational capabilities to accelerate drug discovery and development.
This development builds on Novo Nordisk’s recent collaboration with Ascendis Pharma to create advanced therapies for metabolic and cardiovascular diseases, including a once-monthly glucagon-like peptide-1 receptor agonist (GLP-1RA).
By focusing on cutting-edge treatments, Novo Nordisk aims to strengthen its portfolio of products targeting obesity and diabetes, with the once-monthly GLP-1RA as a key focus.
The partnership between Novo Nordisk and Valo Health began in September 2023, initially covering up to 11 drug programs primarily for cardiovascular diseases.
Valo was set to receive up to US$2.7 billion in milestone payments, alongside research and development (R&D) funding and potential royalties.
With the new agreement, the scope of collaboration has significantly expanded. Valo is now eligible for milestone payments for up to 20 drug programs, an addition of nine new initiatives.
The total potential value of these milestones has increased to approximately US$4.6 billion, complemented by an upfront payment, equity investment, and a near-term milestone payment amounting to US$190 million.
The collaboration utilizes Valo’s Opal Computational Platform™ alongside Novo Nordisk’s expertise in cardiometabolic diseases.
This integrated approach combines human data, genetic insights, and AI-powered drug development to address pressing health challenges.
Marcus Schindler, Novo Nordisk’s executive vice president and chief scientific officer, expressed satisfaction with the progress made in the first year of collaboration.
He highlighted the expanded focus on obesity and type 2 diabetes, emphasizing the potential of merging Valo’s and Novo Nordisk’s capabilities to advance human-centric, AI-driven drug programs.
Schindler affirmed that this partnership aligns with Novo Nordisk’s mission to bring more innovative therapies to the clinic.
Alexander Borisy, CEO of Valo Health, echoed this optimism and described the collaboration as a significant step forward in addressing cardiometabolic diseases, calling it a “renaissance moment” for treatment innovation.
Borisy noted that the partnership’s success stems from integrating human-centric AI, real-world patient data, and advanced preclinical models to identify and validate new drug targets.
Together, Novo Nordisk and Valo Health are working on multiple preclinical programs for small-molecule therapies.
Their expanded partnership spans the entire drug discovery process, aiming to deliver groundbreaking treatments for obesity, type 2 diabetes, and cardiovascular diseases.
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