Nimbus and Lilly sign deal to develop new oral obesity drug

Nimbus Therapeutics and Eli Lilly agreed a multi-year research and licensing deal to develop AI-driven oral treatments for obesity and metabolic diseases, with Lilly paying $55 million upfront and up to $1.3 billion in milestones plus royalties if a drug is approved.

Nimbus Therapeutics and Eli Lilly announced a multi-year research and licensing agreement to pursue AI-driven oral treatments for obesity and other metabolic diseases. The deal includes $55 million in upfront and near-term milestone payments from Lilly, with Nimbus eligible for up to $1.3 billion in development and commercial milestones plus royalties if a drug gains approval. Nimbus will apply its AI platform to identify candidate molecules, while Lilly will provide metabolic-disease development expertise. The announcement comes amid wider industry efforts to develop oral weight-loss medicines as alternatives to weekly injections. Key facts: - Nimbus and Eli Lilly signed a multi-year research and licensing agreement focused on AI-driven oral treatments for obesity and metabolic diseases. - Lilly will make $55 million in upfront and near-term milestone payments; Nimbus may receive an additional $1.3 billion in development and commercial milestones and royalties on global sales if approved. - Nimbus will use its AI platform to identify drug candidates and Lilly will contribute expertise in metabolic-disease development to create an easy-to-take oral medicine. - The collaboration follows Nimbus's 2022 AI-designed compound deal with Takeda and a prior 2022 research and licensing agreement with Lilly on cardiometabolic drugs. - The deal is part of a broader industry trend to use AI for faster, less costly drug discovery and safety testing, and to develop oral alternatives to existing injected weight-loss medicines; the market has been projected to exceed $150 billion annually by the early 2030s. Summary: The agreement reinforces growing investment in AI-enabled drug discovery and adds to efforts to create oral alternatives to injectable weight-loss medicines. Financial terms include $55 million upfront and potential milestone payments totaling up to $1.3 billion plus royalties. Details on specific candidates, development timelines and regulatory steps were not provided. Undetermined at this time.