[Edaily Reporter KIM SAE-MI ] #Rznomics Inc. announced on the 22nd that it has received additional research funding from Eli Lilly for joint research on a treatment for hereditary hearing loss. The company did not disclose the amount received.
This marks the third time the company has received such funding, following two previous disbursements in the first half of this year. The company explained, “The funding was provided as the joint research continues in accordance with the research plan.”
Last May, Rznomics Inc. signed a research collaboration and licensing agreement with Lilly to develop a treatment for hereditary hearing loss using the “trans-splicing ribozyme” platform, an RNA-editing enzyme. Under the agreement, Rznomics Inc. is responsible for early-stage research and candidate compound discovery, while Lilly handles subsequent preclinical and clinical development, as well as manufacturing and commercialization.
If Lilly exercises all contractual options, the total contract value could reach up to $1.334 billion (approximately 1.9 trillion won). Royalties based on sales following commercialization will be paid separately.
The research funding received this time is intended to cover research expenses and is paid separately from the upfront payment or milestone payments tied to development and commercialization stages. In accordance with accounting standards, it will be recognized as revenue over the period during which the research is conducted.
The first approval in the field of gene therapy for hereditary hearing loss was granted last April. On April 23, the U.S. Food and Drug Administration (FDA) approved Regeneron’s “Otarmeni” as a treatment for severe and profound sensorineural hearing loss associated with the OTOF gene mutation. Otarmeni is a gene therapy that utilizes a dual adeno-associated virus (AAV) vector and is the first gene therapy for hereditary hearing loss approved by the FDA.
Rznomics Inc. official stated, “Receiving additional research funding demonstrates that our collaborative research based on the RNA exonuclease platform is continuing,” adding, “We will focus our R&D capabilities on expanding our global partnerships.”
Rznomics Inc. is developing a pipeline of therapies based on its RNA platform, including the anti-cancer gene therapy “RZ-001” and treatments for Alzheimer’s disease, retinitis pigmentosa, and Rett syndrome.
