Novo Nordisk has entered into a collaboration with Replicate BioScience under which it will receive a defined, exclusive, worldwide license to use the latter’s self-replicating RNA platform to develop and commercialize treatments.
Danish drugmaker Novo Nordisk (NVO) has entered into a multi-year research collaboration with Replicate BioScience to develop new therapeutic candidates, the privately held clinical stage company stated on Thursday.
The collaboration will bring together Novo’s therapeutic knowledge and drug development expertise with Replicate’s novel srRNA platform to develop new therapeutic candidates to treat obesity, type 2 diabetes, and other cardiometabolic diseases, the company said.
On Stocktwits, retail sentiment around NVO stock trended within the ‘bearish’ territory over the past 24 hours, while message volume remained at ‘low’ levels. According to Stocktwits data, retail chatter about the stock increased by about 157% over the past 30 days. Shares of the company traded 1% lower at the time of writing.
A Stocktwits user said that they have purchased more shares of the company.
Under the new deal, Novo Nordisk will receive a defined, exclusive, and worldwide license to use Replicate’s self-replicating RNA platform for the development and commercialization of treatments. Meanwhile, Replicate will receive research funding and is eligible to receive up to $550 million from Novo, including an up-front cash payment and potential milestone payments. Replicate is also eligible to receive tiered royalties on future product sales as part of the deal.
Last month, Novo, which is battling competition from its U.S. rival Eli Lilly, lowered its full-year 2025 outlook, citing lower growth expectations for its blockbuster weight loss drug Wegovy and diabetes drug Ozempic for the second half of the year.
The firm now expects sales growth of 8% to 14% during the year at a constant exchange rate, down from its previous estimate of 13% to 21%. Operating profit growth is now expected to be 10% to 16%, down from its prior outlook of 16% to 24%.
Last week, it was reported that the drugmaker has implemented a hiring freeze, which will apply across all markets and departments, with an exemption for business-critical roles. Former CEO of Novo Nordisk, Lars Fruergaard Jørgensen, had earlier stated that the company is taking measures to sharpen its commercial execution and ensure efficiencies in cost base while continuing to invest in future growth.
NVO stock is down 35% this year and approximately 59% over the past 12 months.
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