InSilico Medicine and Tenacia Biotechnology Sign Major Expansion to AI-Driven CNS Collaboration — Potential Deal Value Up to USD94.75 Million

Key Highlights for Investors

• Significant Expansion: InSilico Medicine Cayman TopCo (“InSilico Medicine”, HKEX: 3696) has announced a major expansion of its AI-driven R&D collaboration with Tenacia Biotechnology (Hong Kong) Co., Limited, a commercial-stage biopharmaceutical company focused on neurological disorders.
• Deal Value: The expanded collaboration carries an additional potential deal value of up to USD94.75 million, with InSilico Medicine eligible to receive near-term and milestone payments from Tenacia Biotechnology.
• Focus Area: The partnership aims to develop innovative therapeutic options for highly challenging nerve system-related conditions, a sector with significant unmet medical needs and considerable late-stage development risk.
• Technology Integration: The collaboration leverages InSilico’s proprietary generative AI and automation technologies to jointly develop an additional innovative molecule candidate for challenging neurological diseases. The goal is to advance this candidate to the preclinical candidate (PCC) stage, targeting differentiated clinical needs.
• Track Record: This deal builds on a productive year of collaboration between the two companies, reflecting a deepening relationship and mutual confidence in the partnership’s ability to deliver clinical innovation.

Details Investors Should Note

• Potential Share Price Impact: The announcement of a deal of this scale — with clear milestones and near-term payments — is significant and may influence the market’s perception of InSilico Medicine’s future revenue streams and valuation, especially given the high-value, milestone-driven nature of the agreement.
• Strategic Importance: By focusing on underserved neurological disorders, this partnership positions InSilico Medicine at the forefront of innovation in CNS therapeutics, a market with high unmet need and significant potential upside.
• AI and Automation Leadership: InSilico’s deployment of advanced AI and automation technologies not only accelerates drug discovery but also reduces development risk, potentially shortening timelines to market and improving the probability of clinical success.
• Broader Corporate Momentum: InSilico Medicine, listed on HKEX since December 30, 2025, is delivering innovative solutions for fibrosis, oncology, immunology, pain, obesity, and metabolic disorders, and is also extending its Pharma.AI platform to advanced materials, agriculture, nutritional products, and veterinary medicine. These diversified applications further strengthen the company’s long-term growth prospects.

Leadership and Governance

The announcement was authorized by Mr. Aleksandrs Zavoronkovs, Ph.D., Chairman, Executive Director, CEO, and CBO of InSilico Medicine. The Board currently consists of a blend of executive, non-executive, and independent non-executive directors with strong scientific and commercial backgrounds, signaling robust corporate governance.

Forward-Looking Considerations

• Uncertainty: Investors should note that forward-looking statements in the announcement are subject to risks and uncertainties. There is no guarantee that the milestones will be achieved or that the collaboration will generate the anticipated financial returns.
• Financial Data: The financial data disclosed has not been audited or reviewed by external auditors. Investors are advised to exercise caution and consult professional advisors when making investment decisions.

Conclusion

The expanded collaboration between InSilico Medicine and Tenacia Biotechnology is a significant development, with a potential deal value of up to USD94.75 million. The focus on AI-driven drug discovery for neurological diseases, together with the potential for near-term and milestone payments, is likely to be seen as a positive catalyst by the market. Investors should monitor the achievement of key milestones and continued progress in the partnership, as successful execution could further enhance InSilico Medicine’s growth trajectory and market valuation.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Forward-looking statements involve risks and uncertainties, and actual outcomes may differ. Investors should consult professional advisors and exercise caution before making investment decisions related to InSilico Medicine Cayman TopCo or its securities.

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