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Eli Lilly Enters Recombinase Gene Editing Through Strategic German Partnership

Eli Lilly has partnered with Dresden-based Seamless Therapeutics to develop a recombinase-based gene therapy for genetically caused hearing loss. Seamless will engineer precise recombinases, while Lilly advances development and commercialization. The deal includes upfront funding and potential payments exceeding $1.12 billion, underscoring its significance for the German biotech.

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Eli Lilly

The US pharmaceutical giant Eli Lilly continues to expand its footprint in cutting-edge biotechnology.

After its multi-billion-dollar acquisition of Ventyx Biosciences, the company is now moving into the field of recombinases. In a newly announced partnership with Dresden-based Seamless Therapeutics, Eli Lilly plans to develop a recombinase-based therapy aimed at treating genetically determined hearing loss. For Seamless Therapeutics, the agreement represents a major milestone in the company’s development.

Eli Lilly’s collaboration with Seamless Therapeutics Targets Genetically Caused Hearing Loss

According to a press release, the collaboration is designed to advance a next-generation approach to gene editing. It brings together Seamless Therapeutics’ expertise in developing highly precise and efficient recombinases with Eli Lilly’s extensive experience in the development of therapies for genetic hearing disorders. The partners aim to leverage their complementary strengths to address mutations that cause inherited forms of hearing loss.

At the core of the collaboration is Seamless Therapeutics’ proprietary technology. The company has developed a platform that enables large and precise DNA insertions into virtually any target gene sequence. Importantly, this process functions independently of the cell’s natural DNA repair pathways, a characteristic that differentiates it from many existing gene-editing approaches and underpins its potential precision.

Within the partnership, the Dresden-based team will focus on the development and programming of recombinases. These engineered enzymes are designed to correct specific mutations in genes that are responsible for hearing loss. Eli Lilly will receive an exclusive license to the programmed recombinases, allowing the US company to further advance the resulting therapeutic candidates through preclinical and clinical development. Should the programs prove successful, Eli Lilly will also assume responsibility for commercialization and marketing.

The financial structure of the agreement highlights the importance of the collaboration for Seamless Therapeutics. The company will receive an upfront payment along with committed funding for research and development activities. In an optimal outcome, total payments to Seamless Therapeutics could exceed $1.12 billion, comprising potential milestone payments tied to development progress and commercialization success. These figures do not include additional tiered royalties that could be generated from successfully marketed drugs.

For the privately held German biotech company, the deal represents a significant strategic success. For Eli Lilly, which is widely recognized for its strong position in oncology and its rapidly growing presence in the obesity market, the partnership adds another promising technology to its pipeline. In the obesity segment, Eli Lilly is currently competing closely with Danish rival Novo Nordisk, where the European company is seen as holding the lead.

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(Featured image by Sangharsh Lohakare via Unsplash)

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First published in DER AKTIONAR. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

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Eva Wesley is an experienced journalist, market trader, and financial executive. Driven by excellence and a passion to connect with people, she takes pride in writing think pieces that help people decide what to do with their investments. A blockchain enthusiast, she also engages in cryptocurrency trading. Her latest travels have also opened her eyes to other exciting markets, such as aerospace, cannabis, healthcare, and telcos.