Eli Lilly inks $1.3B AI deal with Superluminal for obesity drugs
Pharmaceutical giant Eli Lilly has struck a significant $1.3 billion agreement with Superluminal Medicines, a privately held biotech firm, to leverage artificial intelligence in the discovery and development of small-molecule drugs. The collaboration is specifically aimed at addressing obesity and a range of other cardiometabolic diseases.
This strategic move underscores Lilly’s aggressive efforts to solidify its leading position in the burgeoning obesity treatment market, which analysts project could reach an astounding $150 billion within the next decade. The company is actively pursuing a multi-pronged strategy involving the development of next-generation drugs, targeted acquisitions, and key partnerships to maintain its formidable presence.
Under the terms of the deal, Eli Lilly gains exclusive access to Superluminal’s proprietary AI-driven platform. This advanced technology is designed to rapidly identify potential drug candidates by focusing on G-protein-coupled receptors (GPCRs). These crucial proteins play a fundamental role in numerous physiological processes, including metabolism, cell growth, and immune responses, making them highly attractive targets for drug development.
The landscape of pharmaceutical innovation is increasingly shaped by such AI collaborations. Danish rival Novo Nordisk, for instance, made a similar high-profile move in May, signing a $2.2 billion deal with U.S. biotech Septerna. That partnership also centers on developing oral small-molecule medicines targeting GPCRs for obesity and other cardiometabolic conditions, highlighting a shared industry conviction in the power of AI to accelerate drug discovery.
Eli Lilly has already capitalized immensely on the widespread success of the GLP-1 class of medicines, spearheaded by its blockbuster drug Zepbound. This class also includes Novo Nordisk’s highly popular Wegovy. Beyond its commercial successes, Lilly is also advancing its pipeline with keenly watched experimental treatments, such as orforglipron, an oral GLP-1 drug that, despite its potential, has faced challenges in meeting the high expectations of investors. Further diversifying its research, Lilly also teamed up with Hong Kong-listed biotech Laekna last year to develop an experimental obesity drug engineered to help patients lose weight while simultaneously preserving muscle mass.
The agreement with Superluminal grants Eli Lilly exclusive rights to further develop and commercialize any drug candidates discovered through the AI platform. In return, Superluminal is eligible to receive a combination of upfront and milestone payments, an equity investment from Lilly, and tiered royalties based on future net sales of any successfully commercialized drugs.
Boston-based Superluminal Medicines, backed by prominent investors including RA Capital Management, Insight Partners, and NVentures (NVIDIA’s venture capital arm), is also developing its own lead candidate. This wholly owned asset targets a protein called melanocortin 4 receptor and is intended to treat specific rare, genetic forms of obesity. Notably, this particular lead candidate is not part of the current deal with Eli Lilly and is anticipated to begin human trials next year.