Fauna Bio Partners with Eli Lilly in $494M Deal for AI-Driven Obesity Drug Discovery
Portfolio Pulse from Benzinga Newsdesk
Fauna Bio has entered into a multi-year agreement with Eli Lilly (LLY) to use Fauna's Convergence AI platform for preclinical drug discovery in obesity. Fauna Bio will receive an upfront payment, equity investment, and could earn up to $494 million in milestone payments, plus royalties on sales.

December 21, 2023 | 1:04 pm
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Eli Lilly partners with Fauna Bio in a deal potentially worth $494M to discover obesity drugs using AI, which could enhance LLY's preclinical pipeline.
The partnership with Fauna Bio could potentially add significant value to Eli Lilly's drug pipeline, especially in the lucrative obesity market. The upfront payment and equity investment indicate a strong commitment to the collaboration, while the milestone payments structure suggests a performance-based incentive for Fauna Bio. This news is likely to be viewed positively by investors, as it demonstrates Eli Lilly's proactive approach in expanding its research capabilities and addressing a major health issue.
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