Bayer, Exscientia Part Ways On Artificial Intelligence Collaboration

  • Exscientia Plc EXAI has ended its collaboration with Bayer AG BAYRY following the achievement of a drug discovery milestone. 
  • Exscientia will retain the option to develop one of the two targets being worked on in the collaboration.
  • Bayer and Exscientia signed the deal in January 2020 for €240 million upfront plus undisclosed milestones. 
  • At the time, Bayer said the deal would help dramatically accelerate the productivity of drug development. The Exscientia partnership was named in a May investor case report as part of the German pharma's pipeline replenishment efforts.
  • In an SEC filing, Exscientia said the deal was terminated on May 30. The company had received revenue of £1.2 million from Bayer. 
  • The Bayer agreement was the last Exscientia partnership based on AI-only design services, which included lower economics and reduced operational involvement compared to more recent partnerships.
  • This update aligns with the company's strategy to increasingly focus on programs where Exscientia's AI design, experimental biology, and precision medicine platforms can be integrated.
  • Price Action: EXAI shares are down 13.80% at $9.90 on the last check Thursday.
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