By Mukundan Sivaraj · AIM Media House
Eli Lilly and Company expanded its partnership with Insilico Medicine in a deal worth up to $2.75 billion, according to Reuters . The Financial Times first reported the agreement.
Insilico will receive $115 million upfront, with additional payments tied to development, regulatory, and commercial milestones, Reuters reported. The total deal value could reach approximately $2.75 billion, excluding tiered royalties on future sales, the company said.
Eli Lilly will receive an exclusive worldwide license to develop, manufacture, and commercialize certain oral drug candidates currently in preclinical development, Reuters reported. The agreement covers multiple programs across therapeutic areas, The Wall Street Journal reported.
The companies will also collaborate on research and development programs using Insilico’s Pharma.AI platform, with targets selected by Eli Lilly, The Wall Street Journal reported. The platform is used to identify biological targets and design new drug candidates using machine learning models.
“This collaboration allows us to explore novel mechanisms and accelerate the identification of promising therapeutic candidates across multiple disease areas,” Andrew Adams, Group Vice President of Molecule Discovery at Eli Lilly, said in a statement reported by CNBC .
Insilico has developed at least 28 drug candidates using generative AI systems, with nearly half in clinical-stage development, Alex Zhavoronkov, Founder and CEO of Insilico Medicine, told CNBC. The company uses AI models to generate and evaluate molecules before laboratory testing.
“By deploying AI technologies that scale from biomarkers to life models, we can identify multi-purpose targets driving multiple diseases at the same time,” Zhavoronkov said, according to Reuters.
The partnership builds on earlier agreements between the companies, including an AI-based software licensing deal signed in 2023, CNBC reported.
Continue on AIM Media House