Vertex Inks Potential $1.2B Gene-Editing Pact With Arbor Biotechnologies

Vertex Pharmaceuticals Inc VRTX and Arbor Biotechnologies have announced a new collaboration to develop ex vivo engineered cell therapies.
The new agreement between Arbor and Vertex builds upon the companies' first partnership established in 2018.
Related: Intellia Shared Promising Biomarker Data From CRISPR/Cas9 Genome Editing Candidate.
Under this new partnership, Vertex can use Arbor's proprietary CRISPR gene-editing technology to research and develop ex vivo engineered cell therapies.
The technology will go toward Vertex's insulin-producing hypoimmune islet cells to treat Type 1 diabetes and next-generation sickle cell disease and beta-thalassemia treatments.
The partnership includes up to seven potential programs.
Under the agreement terms, Arbor will receive an upfront cash payment and is eligible to receive up to $1.2 billion in potential milestone payments.
In addition, Vertex will pay tiered royalties on future net sales on any products that may result from this collaboration.
Vertex will also make an investment in Arbor in the form of a convertible note.
Price Action: VRTX shares are up 0.81% at $200 during the premarket session on the last check Tuesday.