DURHAM – Elo Life Systems, a subsidiary of Precision BioSciences, is now a separate company after being spun off by its corporate parent.

The deal was announced early Tuesday by Precision (Nasdaq: DTIL).

Precision negotiated the transaction along with a “syndicate of investors,” it noted.

“The separation of Precision BioSciences and Elo Life Systems was an important 2021 corporate imperative intended to enable operational success for both companies going forward,” said Michael Amoroso, Chief Executive Officer of Precision BioSciences, in the announcement.

“Elo is now a separate food and agriculture business, with independent financial resources and focused core capabilities to support its essential mission to improve human health and wellness through food,” he added.

“In parallel, this transaction enables Precision to focus exclusively on human therapeutics and leverage the unique attributes of ARCUS to develop a potential new class of off-the-shelf CAR T products for cancer and in vivo gene editing therapies for patients with genetic diseases.”

The company noted that it “contributed substantially all assets and liabilities of Elo Life Systems to a new entity in which Precision maintains an equity stake.”

Precision added that all Elo employees and management “transitioned to the new company as part of the agreement.”