NovAliX takes on employees from Galapagos NV in collaboration deal
Galapagos says it has renewed its focus on its key therapeutic areas of oncology and immunology and is reshaping the company into a research and development (R&D) organization aiming to ‘accelerate innovation, reduce risk and shorten drug development timelines.’
NovAliX, will also take the company’s drug discovery and research activities being carried out in Romainville.
Additionally, the company will assume all ongoing research and discovery activities in Romainville. In return, Galapagos is committed to using NovAliX for its research and expertise through a five year-collaboration within the context of the company’s R&D portfolio.
The financial impact is included in Galapagos’ previously announced 2023 cash burn guidance in the range of €380-420 million. The transaction is subject to customary closing conditions and is anticipated to close in July 2023.
Paul Stoffels, CEO and chairman of Galapagos, said: “Last year, we announced our Forward, Faster strategy, and the strategic reorientation of our company into a fit-for-purpose R&D organization. In light of our renewed focus and our goal to safeguard the continued employment of our colleagues at our research site in Romainville, we are extremely pleased that we have come to an agreement with NovAliX.
“I would like to thank our teams and NovAliX for their trust and commitment throughout the past several months to make this happen. I am confident that our transferred colleagues together with the teams at NovAliX will thrive and that they will continue to contribute to the future success of Galapagos as part of this long-term collaboration.”
Biotech Galapagos is company focused on discovering, developing, and commercializing medicines. The company says it works targeting diseases with high unmet needs. Their research and development covers multiple drug modalities, including small molecules and cell therapies. While NovAliX focuses on drug discovery CRO supporting therapeutic programs from target identification to the delivery of preclinical candidates.
Stephan Jenn, President of NovAliX, added: “We are extremely pleased to enter into an integrated drug discovery collaboration with Galapagos. The acquisition of Galapagos’ drug discovery and research activities in Romainville, including its highly skilled team, is the perfect fit for NovAliX in order to complement our DNA-Encoded-Libraries databaseand cryo-EM driven discovery engine. It positions us as a key player in the field, offering the full scope of drug discovery capabilities and innovative technologies in kidney diseases, fibrosis and immunology, complementing our existing expertise in oncology and infectious diseases.
“This further demonstrates that we are executing on our growth strategy and our ambition to expand our service offering beyond early research. It highlights the evolution that is taking place in our sector, with the emergence of new partnership models between CROs and the biopharmaceutical industry to accelerate therapeutic innovation. We look forward to our long-term collaboration and to welcoming the Galapagos’ teams.”