Chiesi and Arbor Biotechnologies Forge $2.1B Alliance for Rare Disease Gene Editing Therapies

Italian pharmaceutical company Chiesi Group has entered into a landmark collaboration with Arbor Biotechnologies, a U.S.-based gene editing startup, in a deal potentially worth over $2.1 billion. The partnership, announced on October 6, 2025, centers around the development of innovative gene editing treatments for rare diseases, with a primary focus on primary hyperoxaluria type 1 (PH1).
ABO-101: A Breakthrough in PH1 Treatment
At the heart of this collaboration is ABO-101, Arbor's lead gene therapy candidate for PH1, a rare genetic disorder affecting the liver and kidneys. PH1 is characterized by the overproduction of oxalate, leading to severe kidney stones and potential organ damage. ABO-101 employs CRISPR technology to target the HAO1 gene in the liver, aiming to suppress oxalate production and prevent its toxic accumulation.
Chiesi will gain exclusive global rights to ABO-101, which is currently being evaluated in the Phase I/II redePHine clinical trial. The study, which began enrolling patients in July 2025, targets 23 participants and has a primary completion date set for March 2029.
Deal Structure and Financial Terms
Under the terms of the agreement, Chiesi will provide Arbor with up to $115 million in upfront and near-term payments. The deal structure includes:
- Potential milestone payments of up to $2 billion
- Low double-digit tiered royalties on future product sales
- Option for Chiesi to license additional liver-targeting gene editing treatments from Arbor for rare diseases
This substantial investment underscores Chiesi's commitment to expanding its rare disease portfolio and highlights the growing interest in gene editing technologies within the pharmaceutical industry.
Strategic Implications and Market Outlook
The collaboration between Chiesi and Arbor represents a significant step forward in the development of gene editing therapies for rare diseases. It comes at a time when the U.S. Food and Drug Administration (FDA) has expressed interest in accelerating the development of gene therapies for rare conditions.
Currently, two FDA-approved treatments exist for PH1: Alnylam Pharmaceuticals' Oxlumo and Novo Nordisk's Rivfloza. Both require frequent injections, whereas ABO-101 is designed as a one-time treatment with potential lifelong effects.
Giacomo Chiesi, Executive Vice President of Chiesi Global Rare Diseases, described the partnership as "a transformative moment" for both the company and the rare disease community. The alliance aims to explore gene editing's potential to provide more comprehensive therapeutic options for patients with rare diseases.
As the pharmaceutical industry continues to invest in genetic medicines, this collaboration between Chiesi and Arbor Biotechnologies stands out as a prime example of the sector's commitment to addressing unmet needs in rare disease treatment through cutting-edge gene editing technologies.
References
- Chiesi, Arbor Weave $2.1B Rare Disease Pact
The centerpiece of the collaboration is the gene editor ABO-101, being developed for primary hyperoxaluria type 1, a rare disease that leads to severe kidney stones.
- Chiesi buys into Arbor gene editing drug for rare kidney disease
The Italian drugmaker will pay as much as $115 million in upfront and near-term payments in a deal that gives it rights to a treatment in early-stage testing for primary hyperoxaluria type 1.
- Chiesi fertilizes Arbor's rare disease gene therapy efforts with $2B biobucks deal
A few months after launching its lead gene therapy into the clinic, Arbor Biotechnologies has found a European partner to come along for the ride.
Explore Further
What specific milestones must be achieved for Arbor Biotechnologies to receive the full $2 billion in potential payments under this deal?
How does ABO-101's mechanism of action using CRISPR technology compare to currently approved treatments for PH1 like Oxlumo and Rivfloza?
What is the current market size for PH1 treatments, and how is it expected to evolve with the introduction of ABO-101?
Are other pharmaceutical companies currently pursuing similar gene editing partnerships or technologies for rare diseases, and how does this collaboration stand out?
What additional rare disease targets might Chiesi license from Arbor Biotechnologies under the optional terms outlined in the partnership?