Sangamo Therapeutics, a genomic medicine company, has entered an evaluation and option agreement with Prevail Therapeutics, an Eli Lilly subsidiary, for novel engineered capsids.

The deal allows Prevail Therapeutics to evaluate Sangamo Therapeutics’ proprietary adeno-associated virus (AAV) capsids for potential use in various neurological targets. The capsids, produced through Sangamo Therapeutics’ AAV capsid engineering platform SIFTER, have shown promise in efficient gene therapy delivery to the central nervous system in pre-clinical animal models.

Mark McClung, Sangamo Therapeutics’ Chief Operating Officer, praised the potential of these innovative capsids in expanding genomic medicines. He expressed enthusiasm about the opportunity to work with Prevail Therapeutics to assess the novel capsids for neurological targets.

The global agreement entails that Prevail Therapeutics will conduct in vitro and in vivo studies to evaluate Sangamo Therapeutics’ proprietary capsids. If all targets are exercised and approved in the US and Europe, Sangamo Therapeutics could potentially receive up to $415 million in exercise fees and developmental milestones, as well as $775 million in commercial milestones, along with tiered royalties based on net sales. Prevail will lead further development, manufacturing, and commercialization of products incorporating the licensed capsids.

  Lilly, Mark McClung, Prevail Therapeutics, Sangamo Therapeutics, USA