Hong Kong-based AI-driven company sells potential breast cancer drug in deal whose value could exceed US$500 million
- Insilico grants Italy’s Menarini Group, the global rights to develop and commercialise a novel small molecule inhibitor, as a potential treatment for hormone-sensitive cancers
- Breast cancer, a hormone-sensitive cancer, is the most common cancer worldwide, and the leading cause of cancer death among women, according to the WHO
Stemline Therapeutics, a wholly owned unit of Menarini, will make a US$12 million upfront payment to Insilico under the agreement, which will be followed by sales royalties worth up to “double digits”. The combined value of the deal includes all development, regulatory, and commercial milestones.
The agreement comes at a time when cutting-edge technology is playing a greater role in drug discovery. AI has emerged as a catalyst in revolutionising drug discovery by enhancing efficiency and accuracy while reducing the time-consuming aspects of research and development, experts say.
The AI-driven drug discovery market is projected to grow at a compound annual growth rate (CAGR) of 23.72 per cent from 2023 to 2030, reaching an estimated value of US$7.1 billion by 2030, according to US-based Vantage Market Research.
The technology expedites the process of identifying potential drugs, according to Insilico’s founder and co-CEO, Dr Alex Zhavoronkov.
Under the exclusive licensing agreement, Insilico has granted Stemline the global rights to develop and commercialise a novel small molecule KAT6A inhibitor as a potential treatment for hormone-sensitive cancers and other oncology indications.