Gate Bioscience expands Lilly drug discovery deal worth more than $870 million

Oct 5 — Gate Bioscience said on Monday it ​expanded a research and licensing agreement with Eli Lilly to develop treatments targeting ‌disease-causing proteins, in a deal potentially worth more than $870 ⁠million.

The companies' original ​agreement, announced in ⁠July 2025, was worth up to $856 ‌million.

Here are key ‌details:

• The expanded collaboration adds one ⁠drug target, with ⁠an option to add a second

• Gate will receive an upfront payment and research funding, as well as an additional payment if the second target is ‌selected

• The companies did ​not disclose the upfront payment

• Privately held Gate Bioscience will use its platform to discover oral small-molecule drugs designed to eliminate proteins that have been difficult to target with existing medicines

• Gate will ​lead the discovery work, while Lilly ‌will handle ‌late-stage ⁠preclinical and clinical development, manufacturing and commercialization

• Lilly will have exclusive worldwide rights to products developed for the selected targets

• Gate ‌is also eligible ​for milestone payments and ‌royalties on global ⁠sales

(Reporting ​by Siddhi Mahatole in Bengaluru; Editing by Tasim ​Zahid)

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