Eli Lilly Expands AI Drug Discovery Partnership with Insilico Medicine in Deal Worth Up to $2.75 Billion

Mar 29, 2026

Pharmaceutical giant Eli Lilly has expanded its partnership with AI drug developer Insilico Medicine through a licensing deal worth $115 million upfront and up to $2.75 billion in milestone payments announced March 29, 2026. The agreement grants Eli Lilly rights to develop, manufacture, and commercialize multiple preclinical oral therapeutic candidates discovered using artificial intelligence, though specific assets remain undisclosed. Both companies dismissed acquisition rumors, emphasizing this as a research collaboration expansion. Insilico CEO Alex Zhavoronkov praised Eli Lilly's AI capabilities and pharmaceutical expertise, noting the company manufactures Mounjaro and Zepbound, while Insilico's pipeline includes a GLP-1 candidate recently out-licensed to an undisclosed partner.

Insilico-Lilly Partnership Deal Terms and Structure

▪The Insilico Medicine and Eli Lilly deal includes approximately $2.75 billion in biobucks contingent on achieving regulatory and commercial milestones.
▪The Insilico Medicine and Eli Lilly deal includes rights for Eli Lilly to develop, manufacture, and commercialize some of Insilico's preclinical AI-discovered candidates for oral therapeutics.
▪The Insilico Medicine and Eli Lilly deal is worth $115 million up front.
▪Eli Lilly and Insilico Medicine announced a commercialization deal on Sunday, March 29, 2026.
▪Both Insilico Medicine and Eli Lilly knocked down rumors that Insilico Medicine is being acquired.

AI-Discovered Drug Candidates and Pipeline Assets

▪The Insilico Medicine candidates licensed to Eli Lilly are in preclinical stage.
▪Insilico Medicine's pipeline webpage was recently updated to note that a candidate targeting GLP-1 has been out-licensed to an undisclosed partner.
▪Alex Zhavoronkov declined to say which assets Eli Lilly licensed from Insilico Medicine.

CEO Commentary on Lilly's AI Capabilities and Products

▪Alex Zhavoronkov stated that Eli Lilly is better in AI than Insilico Medicine.
▪Alex Zhavoronkov stated that Eli Lilly is the absolutely best partner for the licensed candidates.