Eli Lilly's $1.3B AI Deal with Superluminal for Obesity Drugs
Pharmaceutical giant Eli Lilly is bolstering its leading position in the burgeoning obesity treatment market through a significant $1.3 billion collaboration with Superluminal Medicines, a privately held biotech firm. The strategic alliance aims to leverage artificial intelligence for the discovery and development of novel small-molecule drugs targeting obesity and a range of other cardiometabolic diseases.
Lilly currently commands a substantial share of the obesity treatment landscape, a market projected to reach an estimated $150 billion within the next decade. This latest deal underscores the company’s aggressive strategy to solidify its foothold, which includes internal drug development, targeted acquisitions, and key partnerships.
The agreement grants Lilly exclusive access to Superluminal’s proprietary AI-driven platform. This advanced technology is designed to rapidly identify potential drug candidates that interact with G-protein-coupled receptors (GPCRs). These proteins are critical cellular targets, influencing a vast array of physiological processes, including metabolism, cell growth, and immune responses, making them highly attractive for drug development.
This move by Eli Lilly mirrors a similar, high-value transaction in the competitive pharmaceutical space. Danish rival Novo Nordisk, another major player in obesity care, inked a $2.2 billion deal with U.S. biotech Septerna in May. That partnership also focused on developing oral small-molecule medicines that target GPCRs for obesity and related cardiometabolic conditions, signaling a clear industry trend towards AI-accelerated drug discovery and the pursuit of next-generation oral treatments.
Eli Lilly has significantly capitalized on the immense popularity of the GLP-1 class of medicines, spearheaded by its blockbuster drug Zepbound, which competes with Novo Nordisk’s Wegovy. The company is also keenly focused on its oral GLP-1 drug candidate, orforglipron, though its performance has not yet fully aligned with initial investor expectations. Last year, Lilly further diversified its pipeline by teaming up with Hong Kong-listed biotech Laekna to develop an experimental obesity drug specifically designed to help patients lose weight while simultaneously preserving muscle mass—a crucial unmet need in current treatments.
Under the terms of the Superluminal agreement, Lilly will gain exclusive rights to develop and commercialize any drug candidates discovered using the Boston-based startup’s sophisticated AI platform. In return, Superluminal is eligible to receive a combination of upfront and milestone payments, an equity investment, and tiered royalties on future net sales of any successfully commercialized drugs.
It’s worth noting that Superluminal also possesses its own wholly owned lead candidate, which targets a protein called melanocortin 4 receptor. This drug is intended for specific rare, genetic forms of obesity and is anticipated to begin human trials next year; however, this particular candidate is not included in the deal with Lilly. Superluminal Medicines has attracted backing from prominent investors, including RA Capital Management, Insight Partners, and NVentures, the venture capital arm of NVIDIA.