Novo Nordisk Expands Drug Discovery Collaboration With Valo Health For Cardiometabolic Diseases

(RTTNews) - Novo Nordisk A/S (NVO), Wednesday announced an expansion of its collaboration with Valo Health to discover and develop novel treatments for obesity, type-2 diabetes, and cardiovascular disease, committing to a near-term payment of $190 million. The collaboration expects milestone payments of approximately $4.6 billion plus R&D funding and potential royalty payments.

Under the expanded collaboration, Valo's Opal Computational Platform will be integrated with Novo Nordisk's expertise in cardiometabolic diseases, deriving insights from real-world patient data, conducting trials, and developing therapeutics with human-centric AI small molecule design.

In addition to an upfront payment, equity investment, and a potential near-term milestone payment, Valo will also receive milestone payments for up to 20 drug programs, an addition of 9 new drug programs.

In the pre-market hours, Novo Nordisk's stock is climbing 2.84 percent, to $85.72 on the New York Stock Exchange.