The stock value of Prime Medicine, Inc. (NASDAQ: PRME) is increasing significantly on the US stock charts today, indicating that the market is enthusiastic about the company’s recent announcement of expansion plans. As of the most recent market check, PRME shares were surging 12.72% to trade at $3.90.
Prime Medicine Inked a Strategic Partnership
In order to develop reagents for state-of-the-art ex vivo T-cell therapy, Prime Medicine (PRME) has entered into a strategic research partnership and license agreement with Bristol Myers Squibb.
As per the cooperation agreement, PRME will create Prime Editor reagents specifically designed for certain uses, such utilizing its innovative Prime Assisted Site-certain Integrase Gene Editing (PASSIGE) technology.
These next-generation cell treatments will be developed, manufactured, and commercialized by Bristol Myers Squibb, with Prime Medicine providing critical support in the development of reagents and gene editing technologies.
Advancing Gene Editing Technology
This collaboration represents a significant opportunity for the company to extend its Prime Editing technology beyond its current focus on rare genetic disorders. The partnership is poised to address critical unmet needs in the fields of immunology and oncology, leveraging Prime Medicine’s PASSIGE technology.
This advanced approach integrates Prime Editing with an integrase or site-specific recombinase, allowing for the introduction of large gene-sized cargo into the genome. Remarkably, PASSIGE employs a completely non-viral manufacturing process, avoiding double-stranded DNA breaks and off-target edits, thereby enabling more precise genetic modifications.
Financial Implications and Future Prospects
The agreement not only enhances Prime Medicine’s research capabilities but also promises substantial financial rewards. As per the agreement, Bristol Myers Squibb will invest $55 million in equity and Prime Medicine would get an upfront payment of $55 million.
In addition, the business is qualified for royalties on net sales and approximately $3.5 billion in milestone payments, comprising over $2.1 billion in commercialization milestones and $1.4 billion in development milestones.
