Synopsis
The new deal builds on existing collaborations between the two companies, which struck a software licensing agreement in 2023, according to Insilico. The pair will use Insilico's "AI engine to accelerate the discovery and development of novel therapeutics across multiple therapeutic areas", said the filing, made by Insilico's parent company on Sunday.It said the value of the deal between Eli Lilly -- known for its weight loss jabs including Mounjaro -- and AI software firm Insilico Medicine could be up to US$2.75 billion.
The pair will use Insilico's "AI engine to accelerate the discovery and development of novel therapeutics across multiple therapeutic areas", said the filing, made by Insilico's parent company on Sunday.
The new deal builds on existing collaborations between the two companies, which struck a software licensing agreement in 2023, according to Insilico.
The rapidly developing generative AI field holds promise for many sectors, including medicine, because of its ability to crunch huge amounts of data faster than humans can.
Insilico shares were trading up 6.5% in Hong Kong in morning trade Monday having spiked nearly 15% at the open on news of the deal.
"Insilico's AI-enabled discovery capabilities represent a powerful complement to Lilly's deep expertise in clinical development," a press release on Insilico's site cited Eli Lilly's group vice president of molecule discovery Andrew Adams as saying.
The pair will collaborate on multiple research and development programmes "focused on targets selected by Lilly", the statement added.
Insilico will receive a $115 million upfront payment under the terms of the deal, it said.
