Novartis (NYSE: NVS), a Swiss pharmaceutical heavyweight, has joined forces with the US venture capital fund Versant Ventures to launch Borealis Biosciences, a cutting-edge biotech firm dedicated to pioneering next-generation RNA medicines for kidney diseases. Borealis emerges from incubation with a substantial USD 150 million in Series A financing, bolstered by strategic research collaboration funding from Novartis.
Versant Ventures, instrumental in the inception of Chinook Therapeutics—a kidney disease specialist snapped up by Novartis for a staggering USD 3.2 billion in August 2023—now collaborates once more with the Swiss giant. The duo is setting the stage for Borealis, an independent entity with a renewed focus on kidney diseases. The company benefits from the expertise of research leaders and academic advisors from Chinook’s past, enhanced by new leadership in RNA therapeutics.
In a symbolic move, Borealis will operate from the very research site in Vancouver previously occupied by Chinook Therapeutics, now equipped with state-of-the-art facilities including wet labs for molecular and cellular biology, vivarium space, and chemistry and analytical capabilities. The Borealis team comprises approximately 25 specialists, including “drug hunters” with deep knowledge in kidney disease, translational systems biology, data sciences, translational biology, chemistry, DMPK, and pharmacology.
Novartis’ strategic research collaboration with Borealis is underscored by a substantial upfront fee of USD 100 million, near-term research funding, and a commitment to potential clinical and regulatory milestones valued at up to USD 750 million. This agreement grants Novartis the prerogative to acquire two future programs from Borealis as they become available. Novartis also has a stake in Borealis’ Series A financing round, the specifics of which remain undisclosed.- Flcube.com
