Relation Therapeutics: Pioneering Biotech Collaboration with GSK to Tackle Fibrosis and Osteoarthritis

Deal News | Dec 10, 2024 | DCVC Management Co LLC

Relation Therapeutics, a DCVC TechBio company focused on drug discovery through data-driven methods, has entered a substantial research partnership with pharmaceutical giant GSK. This collaboration aims to develop new treatments for fibrosis and osteoarthritis. Remarkably, Relation is securing $45 million as an upfront payment, with additional success-based payments totaling up to $63 million, making this venture the largest deal for a seed-stage biotech company to date. Moreover, Relation stands to gain potential milestone payments and royalties from GSK based on targeted preclinical, development, commercial, and sales success. Founded less than five years ago, Relation has already raised $80 million through seed funding rounds led by DCVC and NVentures. This partnership highlights the innovative use of AI and genetic data models by Relation to discover new drug targets for complex multigenic diseases, promoting a profound impact in the biotech field by addressing undertreated ailments. The company, led by experts well-versed in complex diseases, strives to develop breakthrough medicines with a patient-focused approach.

Sectors

Biotechnology
Pharmaceuticals
Artificial Intelligence

Geography

United Kingdom – Relation Therapeutics is based in London, placing the company and the development within the UK.
Global – GSK is a global pharmaceutical company, indicating the international impact and scale of the partnership.

Industry

Biotechnology – Relation Therapeutics operates in the biotechnology sector, focusing on drug discovery and the development of therapies for complex diseases.
Pharmaceuticals – GSK is a major pharmaceutical company, indicating the article's relevance to the pharmaceuticals industry through its collaboration with Relation Therapeutics.
Artificial Intelligence – Relation Therapeutics utilizes AI technologies to discover new drug targets, placing it within the artificial intelligence sector.

Financials

$45 million – Upfront payment from GSK to Relation Therapeutics for entering the research partnership.
$63 million – Success-based collaboration payments that Relation Therapeutics is eligible to receive as part of the deal.
$108 million – Total potential payment from GSK to Relation Therapeutics, including upfront and success-based payments.
$200 million – Potential preclinical, development, commercial, and sales milestone payments Relation Therapeutics could receive per target.
$80 million – Total seed funding raised by Relation Therapeutics over three rounds.

Participants

Name	Role	Type	Description
Relation Therapeutics	Target Company	Company	A DCVC TechBio company focusing on discovering new drug targets for complex diseases using AI and genetic data.
GSK (GlaxoSmithKline)	Collaborating Company	Company	A leading global pharmaceutical company entering into a partnership with Relation Therapeutics.
DCVC Management Co LLC	Private Equity Firm	Company	DCVC is a venture capital firm backing Relation Therapeutics and a leader in its seed funding rounds.