CAMBRIDGE, Mass. - Editas Medicine , Inc. (NASDAQ:EDIT), a pioneer in gene editing technologies, and pharmaceutical giant Bristol Myers Squibb (NYSE:NYSE:BMY) have announced the extension of their partnership focused on developing T cell therapies for cancer and autoimmune diseases.
The collaboration, now extended for an additional two years with the option for further extensions, aims to leverage Editas' gene editing platforms and Bristol Myers Squibb's expertise in drug development.
The extended agreement builds upon a strategic research collaboration initiated in 2015 between Editas Medicine and Juno Therapeutics, which is now part of Bristol Myers Squibb. The original collaboration was set to expire in 2024 but will now continue until at least 2026, with potential to last until 2028.
As part of the collaboration, Bristol Myers Squibb has already opted into 13 programs targeting 11 genes, with two in IND-enabling studies and four in late-stage discovery.
Dr. Linda C. Burkly, Chief Scientific Officer of Editas Medicine, expressed confidence in the extended partnership's ability to advance the next generation of allogeneic medicines to combat prevalent cancers. The collaboration includes Editas' development of genome editing tools, with Bristol Myers Squibb having the rights to opt into these tools for the creation of gene-edited alpha-beta T cell therapies.
Financially, Editas stands to gain from potential future milestone payments as new experimental medicines are developed and commercialized by Bristol Myers Squibb. Additionally, Editas is eligible to receive tiered royalties on net sales following the approval of any products resulting from the collaboration.
The partnership underscores a continued commitment to advancing in vivo gene editing medicines, with Editas Medicine being the exclusive licensee of Broad Institute’s Cas12a and Cas9 patent estates for human medicines.
The information for this article is based on a press release statement.
InvestingPro Insights
Editas Medicine, Inc. (NASDAQ:EDIT) has been navigating a challenging market environment, reflected in its recent financial metrics and stock performance. According to the latest data from InvestingPro, Editas Medicine holds a market capitalization of $428.44 million. Despite the company's innovative strides in gene editing technology, the financials reveal a negative P/E ratio (LTM Q4 2023) of -2.82, indicating that the company is currently unprofitable. This aligns with the InvestingPro Tip that analysts do not anticipate the company will be profitable this year.
InvestingPro Tips also highlight that the company has been facing a decline in stock price, trading near its 52-week low with a price percentage of 43.74% of the high. This could be a point of concern for investors considering the volatility of the biotech industry. However, on a more positive note, the company does hold more cash than debt, suggesting a degree of financial stability that could support its ongoing research and development efforts in collaboration with Bristol Myers Squibb.
For readers looking to delve deeper into the financial health and future prospects of Editas Medicine, InvestingPro offers additional insights and tips. For instance, there are 5 more InvestingPro Tips available which could help investors make a more informed decision. Interested readers can take advantage of a special offer using coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.
With the next earnings date scheduled for May 1, 2024, investors and analysts will be keen to see how the extended collaboration with Bristol Myers Squibb might impact Editas Medicine's financial trajectory and if the partnership will indeed accelerate the development of new gene-edited therapies as anticipated.
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