GlaxoSmithKline has inked a discovery deal with the UK's Biotica, making an undisclosed equity investment and committing up to $130 million in milestone payments for each new drug discovered in the collaboration.
The deal marks a key validation for Biotica's work with erythromycin-based macrolides in inflammatory diseases. Its researchers will use bioengineering technology to produce compounds likely to elude conventional medicinal chemistry. GSK's equity stake is being made in Biotica's fourth venture round, which remains open.
"The deal with GSK significantly boosts our cash position and enables us to further strengthen our position as the leading natural product optimization company. We look forward to working with GSK to exploit the significant potential of macrolides in inflammatory diseases," said Dr. Edward Hodgkin, CEO of Biotica.
- check out the press release