Insilico Medicine (“Insilico”, 3696.HK), a clinical-stage generative artificial intelligence (AI)-driven drug discovery company, and SK Biopharmaceuticals, a Korean-based company leads the way in biotech innovation with groundbreaking drug research, development, and commercialization worldwide, announced a research and development collaboration at the BIO 2026 International Convention to discover AI-enabled innovative drug candidates in the neuroimmune area of the central nervous system (CNS).
Neuroimmune disorders, including neuroinflammatory, neurodegenerative, and rare neurological disorders, remain among the most challenging therapeutic areas in modern medicine, with significant unmet patient need and historically low clinical success rates.
Under the agreement, Insilico will leverage its proprietary Pharma.AI platform, which spans target validation, generative chemistry, and molecule optimization, together with its preclinical drug discovery expertise to discover, design, and optimize novel candidates for neuroimmune indications. SK Biopharmaceuticals will contribute its extensive development and clinical capabilities in neuroimmune disorders, steering the late-stage development and commercialization of all resulting programs. Together, the two companies aim to accelerate discovery timelines and advance next-generation therapies for patients worldwide.
Financially, Insilico will be eligible to receive up to USD18 million in upfront and near-term milestone payments. The total potential deal value exceeds USD2.5 billion, including development, regulatory, and commercial milestone payments, as well as single-digit royalties on net sales upon commercialization. Notably, the partnership sets a record by total potential deal value that Insilico has secured with APAC partners to date.
As an AI-native biotechnology company, Insilico is redefining the efficiency of preclinical drug development through its advanced AI and automation platform, setting a new standard for the industry. While traditional early-stage drug discovery typically takes 2.5 to 4 years, Insilico has consistently reached preclinical candidate (PCC) nomination in an average of just 12 to 18 months, with only 60 to 200 molecules synthesized and tested per program. Since 2021, the company has nominated 31 PCCs, 13 of which have received IND approval or clearance.
Insilico Medicine is a pioneering global biotechnology company dedicated to integrating artificial intelligence and automation technologies to accelerate drug discovery, drive innovation in the life sciences, and extend health longevity to people on the planet. The company was listed on the Main Board of the Hong Kong Stock Exchange on December 30, 2025, HKEX:3696.
By integrating AI and automation technologies and deep in-house drug discovery capabilities, Insilico is delivering innovative drug solutions for unmet needs including fibrosis, oncology, immunology, pain, and obesity and metabolic disorders. Additionally, Insilico extends the reach of Pharma.AI across diverse industries, such as advanced materials, agriculture, nutritional products and veterinary medicine. For more information, please visit www.insilico.com.
Fangda Partners acted as legal counsel to Insilico in this transaction, providing comprehensive legal services including drafting, negotiation and revision of transaction documents. The Fangda team was led by partners Henry HE, Josh SHIN and Bella WANG. Team members included YANG Jiali and associate Ethel WANG.