(Bloomberg) -- Novo Nordisk A/S agreed to partner with the US technology company Valo Health Inc. to use artificial intelligence to find new drugs in a deal that could be worth as much as $2.7 billion.
Valo will receive an upfront payment and a potential near-term milestone of $60 million, the companies said Monday. Closely held Valo stands to get far more if some of the 11 programs the partners will work on together reach certain mileposts.
Novo agreed to license three drug-discovery programs in cardiovascular disease developed by Valo’s AI platform. The companies will also work on finding drug targets and developing treatments for those targets as part of the agreement. The focus is heart and metabolic conditions.
The Danish drugmaker has ample cash for investing after the success of its blockbuster weight-loss drug Wegovy helped it become Europe’s most valuable company.
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