Insilico Medicine signs US$2.5B strategic alliance with CDMO Bora Pharmaceuticals

USA—Artificial intelligence (AI)-focused biotechnology company Insilico Medicine has entered into a strategic partnership with contract development and manufacturing organisation (CDMO) Bora Pharmaceuticals, valued at up to US$2.5 billion.

The agreement aims to accelerate the discovery and development of new medicines by combining Insilico’s AI-powered drug discovery platform with Bora’s expertise in pharmaceutical development, manufacturing and commercialization.

Combining AI with drug development

The multi-target collaboration will integrate Insilico’s proprietary Pharma.AI platform with Bora’s automated manufacturing and development capabilities to establish a next-generation model for drug innovation.

Through this approach, the companies intend to identify and optimize novel drug candidates for diseases with significant unmet medical needs.

Insilico’s Pharma.AI platform supports multiple stages of drug development, including target identification, generative chemistry and molecular optimization.

By pairing these capabilities with Bora’s manufacturing infrastructure, the partners expect to streamline the transition from early discovery to large-scale production.

In addition to advancing drug development, Taipei-based Bora plans to strengthen AI adoption across its organization.

The company expects the partnership to improve operational efficiency in manufacturing, supply chain management, distribution and corporate functions.

Bora Chief Executive Officer Bobby Sheng described the collaboration as an important milestone in the company’s evolution beyond contract manufacturing.

“We have an opportunity to create a truly integrated pathway from discovery to commercialization,” Sheng said.

 “AI is already transforming drug discovery, but its full potential will only be realized when that transformation extends across the entire development and manufacturing value chain.”

Expanding Insilico’s AI partnerships

The agreement further expands Insilico’s growing portfolio of collaborations with major pharmaceutical companies.

According to the company, its AI platform can generate a preclinical candidate (PCC) within 12 to 18 months, significantly faster than the industry average of 2.5 to 4 years.

Since 2021, Insilico has nominated 31 preclinical candidates, with 13 receiving Investigational New Drug (IND) approval or clearance.

Insilico Chief Executive Officer and founder Alex Zhavoronkov said the alliance demonstrates how AI can accelerate the development of innovative medicines while improving scalability throughout the pharmaceutical value chain.

The Bora partnership follows a series of high-value agreements signed by Insilico over the past two years.

In 2023, Eli Lilly licensed Insilico’s AI software before expanding the relationship with a US$100 million agreement.

Earlier this year, the companies strengthened their collaboration through a US$115 million deal that could reach US$2.75 billion in milestone payments.

More recently, Insilico partnered with Takeda under an agreement that includes US$60 million upfront and up to US$600 million in milestone payments.

In June, South Korea’s SK Biosciences also joined the list of collaborators, committing US$18 million upfront in a deal valued at up to US$2.5 billion.

Bora continues global expansion

The partnership comes as Bora continues to expand its global manufacturing footprint through strategic acquisitions.

In 2024, the company acquired Minnesota-based generic drug manufacturer Upsher-Smith for US$210 million, strengthening its presence in the United States.

Later that year, Bora purchased a fill-finish manufacturing facility in Baltimore from Emergent BioSolutions for US$30 million.

More recently, the company acquired the CDMO business and manufacturing operations of Maryland-based MacroGenics for US$127 million, further expanding its pharmaceutical manufacturing capabilities in North America.