AlzeCure strikes Lilly deal worth over $1bn for Alzheimer's drug candidate

AlzeCure Pharma (ALZCUR) has signed a collaboration and out-licensing agreement with Eli Lilly (LLY) granting the US drugmaker global rights to an Alzheimer's drug candidate in a deal that could exceed $1bn in total value.

The agreement covers ACD680, an Alzstatin compound developed by the Swedish biotech that is currently in preclinical development. AlzeCure will receive an upfront payment of $10mn, along with development and commercial milestone payments and tiered mid-single-digit royalties on net sales.

AlzeCure focuses on small-molecule drug candidates for central nervous system diseases, with a particular emphasis on Alzheimer's and pain. Chief executive Martin Jönsson said Alzstatin compounds are designed to counteract the re-accumulation of harmful amyloid deposits in the brain, and may ultimately be used to help prevent Alzheimer's disease.