Novartis takes stake in SomaLogic; research agreement extended

BOULDER – SomaLogic Inc. on Monday announced that multinational pharmaceutical company Novartis has taken an equity position in the local biotech firm as the two extended their multi-year research agreement.

Neither the financial terms of the deal nor the size of the equity stake were disclosed. SomaLogic spokesman Fintan Steele said it was a significant stake, though not large enough that Novartis is compelled by law to disclose it.

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The agreement is an extension and expansion of one the two companies inked in 2011 for SomaLogic to build a version of its SOMAscan proteomics assay that Novartis could use for its drug discovery and development efforts.

Boulder-based SomaLogic specializes in biomarker discovery and clinical diagnostics, making clinical diagnostic products that quickly and accurately measure hundreds of proteins present in the body at a given moment with just a couple of drops of blood or urine.  The new deal with Novartis comes amid booming growth for SomaLogic, founded in 2000.

Based at 2945 Wilderness Place, the company recently signed a lease for about 30,000 additional square feet of space next door to its 60,000-square-foot headquarters. Steele said the company would be expanding into the new space over the course of the next few months.

SomaLogic has about 120 employees, nearly double the count of just four years ago. The privately held company doesn’t disclose revenue. In its first 10 years, the company burned through about $200 million in capital developing its technology but has seen rapid growth since and expects more to come, Steele said.

“Our ongoing relationship with Novartis is a model for how we seek to develop strong scientific collaborations that drive new discoveries and build value for both parties,” SomaLogic CEO Byron Hewett said in a press release. “We are delighted that Novartis has decided to continue our work together and take it to an even higher level.”