Borealis Biosciences (Novartis) and Versant will collaborate to develop treatments for kidney diseases
Novartis acquired Chinook Therapeutics a little more than a year ago, and this collaboration builds on that
On Aug. 22, 2024, a press release was issued to announce the collaboration between Novartis and Versant Ventures in the establishment of Borealis Biosciences, an independent biotechnology company focused on early-stage research. The company will be headquartered in Vancouver, Canada. Using Novartis' unique xRNA platform, Borealis will concentrate on creating advanced medications for kidney diseases by manipulating the body's natural messenger RNA (mRNA) to control the production of harmful proteins.
The new company is founded on the achievements of Chinook Therapeutics, which was established by Versant in 2019 and later acquired by Novartis in 2023. Novartis acknowledged the significant scientific potential of Chinook's talented team, facilities, and capabilities in early research through this process. Former Chinook researchers will carry on their drug discovery efforts for Borealis, aiming to enhance the opportunities and potentially expedite the process of identifying new medications for renal conditions.
The Vancouver site spans an impressive 23,000 square feet and is equipped with wet labs that cater to various scientific disciplines such as molecular and cellular biology, chemistry, and analytical science.
At Novartis, our guiding principle is to advance scientific progress. The establishment of Borealis as a separate company from Chinook demonstrates a unique approach to structuring deals in order to promote groundbreaking scientific exploration," stated Ronny Gal, Novartis' chief strategy and growth officer, in the press release. "This unique three-part transaction involving divestment, collaboration, and investment showcases Novartis' commitment to advancing renal science."
Jerel Davis, PhD, Versant managing director, emphasized the significance of partnering with top pharmaceutical companies to establish biotechs and foster early collaborations as a crucial aspect of Versant's investment strategy, according to the press release. “We are excited to collaborate with Novartis in pushing the boundaries of innovation to benefit patients.”
Novartis has had a hectic year, starting with the completion of their $3.5 billion purchase of Chinook Therapeutics in August 2023. In October 2023, Novartis decided to separate its generics and biosimilars business, Sandoz, into its own independent company. Over the next few months, Novartis made several acquisitions to expand its portfolio. In January, they acquired Calypso Biotech for $425 million, followed by MorphoSys for $2.9 billion in February, and Mariana Oncology for $1 billion in May 2024.
Furthermore, in April 2024, Novartis made a substantial investment of $15.7 million in Our Future Health, a health research program based in the UK. The aim of this program is to enhance our knowledge and comprehension of significant health conditions.
Source: Novartis 1 2 3, Calypso Biotech, PharmTech.com
