AstraZeneca and CSPC Collaborate on AI-Driven Drug Development
AstraZeneca has signed a significant research agreement with CSPC Pharmaceutical Group worth up to $5.3 billion, marking the latest effort by the Anglo-Swedish drugmaker to bolster its presence in China, its second-largest market. The deal leverages artificial intelligence to develop therapies for chronic conditions, a pressing global health issue affecting over two billion people worldwide.
Under the terms of the agreement, AstraZeneca will pay CSPC an upfront fee of $110 million. CSPC is also eligible to receive up to $1.62 billion for reaching development milestones and an additional $3.6 billion linked to sales-related milestones. The collaboration will focus on discovering and developing pre-clinical candidates, including a small molecule oral therapy for immunological diseases. CSPC will conduct AI-driven research at its facilities in Shijiazhuang City.
“This strategic research collaboration underscores our commitment to innovation in tackling chronic diseases,” said Sharon Barr, an executive at AstraZeneca. The partnership builds on AstraZeneca’s recent investments in China, including a $2.5 billion investment in a research and development hub in Beijing announced in March.
The deal is AstraZeneca’s latest foray into AI-driven drug development, following collaborations with other companies such as Immunai, Qure.ai, and Tempus AI. This approach is expected to accelerate the development of new therapies for chronic conditions, which continue to be a major global health challenge.
AstraZeneca and CSPC both have extensive pipeline portfolios that include treatments for cancer and cardiovascular diseases. While CSPC generates about 80% of its revenue from its finished drug segment, the company is actively seeking new licensing and collaboration opportunities, having signed a licensing deal with AstraZeneca last October worth up to $1.92 billion.
The agreement also grants AstraZeneca exclusive licensing options for candidates identified during the collaboration, further strengthening its position in the global pharmaceutical market.
