(Transcribed with OpenAI Whisper)
Alphabet's Isomorphic Labs to collaborate with Novartis, Lilly. Isomorphic Labs, a subsidiary of Alphabet Inc., said it entered into strategic research collaboration agreements with Novartis AG and Eli Lilly & Co. Under the terms of the partnership with Lilly, Isomorphic Labs will receive an upfront cash payment of $45 million to collaborate on research into small molecule therapeutics against multiple targets, the company said in a statement. It is also eligible to receive as much as $1.7 billion in performance-based milestone payments, excluding the upfront payment and any subsequent tiered royalties of up to low double digits on net sales. Isomorphic Labs also entered into an agreement with Novartis to discover small molecule therapeutics against three undisclosed targets. The company will receive an upfront payment of $37.5 million and is eligible to receive as much as $1.2 billion in performance-based milestone payments, according to a separate statement. This collaboration harnesses our company's unique strengths, from AI and data science to medicinal chemistry and deep disease area expertise, to realize new possibilities in AI-driven drug discovery, said Fiona Marshall, president of biomedical research at Novartis.
Key Takeaways from the Article:
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Strategic Collaborations: Isomorphic Labs, a subsidiary of Alphabet Inc., announced research collaboration agreements with two major pharmaceutical companies: Novartis AG and Eli Lilly & Co.
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Partnership with Eli Lilly: Under the terms of the partnership with Lilly, Isomorphic Labs will receive an upfront payment of $45 million. The collaboration focuses on research into small molecule therapeutics targeting multiple areas.
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Potential Earnings from Lilly Collaboration: In addition to the upfront payment, Isomorphic Labs is eligible for performance-based milestone payments of up to $1.7 billion, plus tiered royalties of up to low double digits on net sales.
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Agreement with Novartis: A separate agreement with Novartis involves the discovery of small molecule therapeutics against three undisclosed targets. For this, Isomorphic Labs will receive an upfront payment of $37.5 million.
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Financial Incentives in Novartis Deal: Similar to the Lilly deal, Isomorphic Labs could receive up to $1.2 billion in performance-based milestone payments from Novartis.
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Focus on AI-Driven Drug Discovery: Fiona Marshall, president of biomedical research at Novartis, highlighted the collaboration's emphasis on AI and data science, medicinal chemistry, and deep disease area expertise for AI-driven drug discovery.
These collaborations signify a significant move into AI-driven pharmaceutical research for Isomorphic Labs, underlining the potential of AI in advancing drug discovery and development in partnership with established industry players.