Gate Bioscience expanded its discovery partnership with Eli Lilly in a deal potentially worth more than USD 870 million. The agreement adds one target, with an option for a second, to the companies’ work on oral small-molecule therapies known as molecular gates.
Brisbane, California-based Gate will receive an undisclosed upfront payment, research funding and a further payment if Lilly selects the second target. It is also eligible for preclinical, clinical and commercial milestone payments, plus tiered royalties on global net sales.
Gate will lead discovery, while Lilly will handle later-stage preclinical and clinical development, manufacturing and commercialisation. Lilly will hold exclusive worldwide rights to products developed for the selected targets.
Molecular gates selectively block disease-causing proteins from passing through the Sec61 secretory channel, triggering their degradation. Gate says the approach could address approximately 4,000 targets across areas including immunology, neuroscience and cardiometabolic disease.