Exelixis in-licenses Insilico's ISM3091

US genomics-based drug discovery company Exelixis (Nasdaq: EXEL) has entered into an exclusive license agreement with Sino-American firm Insilico Medicine for global rights to develop and commercialize the latter’s ISM3091, a potentially best-in-class small molecule inhibitor of USP1, which has emerged as a synthetic lethal target in the context of BRCA-mutated tumors.

Insilico granted Exelixis an exclusive, worldwide license to develop and commercialize ISM3091, and other USP1-targeting compounds, in exchange for an upfront $80 million anticipated in the third quarter 2023. Insilico is also eligible to receive future development, commercial, and sales-based milestone payments, as well as tiered royalties on net sales.

Last November, Insilico partnered with French pharma Sanofi (Euronext: SAN) to apply its AI platform to advance drug development for up to six new targets as part of a deal. That agreement included $21.5 million in upfront and target nomination fees, and could be worth as much as $1.2 billion if certain research, development and sales milestones are met.