Novartis has entered a multi-billion dollar research collaboration and licensing agreement with Unnatural Products Inc. (UNP) to target historically “undruggable” pathways. The partnership aims to leverage UNP’s AI-enhanced platform to develop next-generation macrocyclic peptides that can be administered orally.
Key financial and operational highlights of the deal:
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Financial Structure: UNP is set to receive up to $100 million in upfront and pre-IND payments. The total deal value could reach $1.7 billion upon meeting various development and commercial milestones, plus tiered royalties on global annual net sales.
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Operational Split: While UNP provides the discovery platform, Novartis will take full responsibility for IND-enabling studies, clinical trials, large-scale manufacturing, and global distribution.
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Therapeutic Focus: The collaboration will initially focus on an undisclosed program within the cardiovascular disease space.
By utilizing AI to optimize the permeability of macrocyclic molecules, UNP’s technology seeks to bridge the gap between small molecules and large biologics. This approach allows for the creation of oral drugs that can interact with complex intracellular targets, a capability previously restricted to injectable therapies. This partnership underscores Novartis’ commitment to integrating advanced computational platforms to accelerate the delivery of chronic disease treatments.