Client Novo Nordisk Expands AI-Based Cardiometabolic Drug Discovery Collaboration with Valo Health

In The News
January 9, 2025

Ropes & Gray advised Novo Nordisk in expanding its collaboration with Valo Health in a deal worth up to $4.6 billion to discover and develop new treatments using artificial intelligence and real-world patient data to develop up to 20 treatments for obesity, type 2 diabetes and cardiovascular disease. The deal was announced on January 8.

In 2023, Ropes & Gray advised Novo Nordisk in forming a Valo partnership with an 11-program collaboration focused on cardiovascular disease. That collaboration was worth up to $2.7 billion in milestones, plus research and development funding and potential royalty payments.

Under the expanded agreement, Valo is entitled to receive an upfront payment, equity investment and potential near-term milestone payments totaling $190 million and is eligible to receive milestone payments for up to 20 drug programs, totaling approximately $4.6 billion, plus research and development funding and potential royalty payments.

The Ropes & Gray team included life sciences licensing partner Hannah England and life sciences licensing associates Ian Nilsen and Daniel Freshman and emerging companies and venture capital partner Rajarshi Banerjee.