Insilico Medicine and Tenacia Biotech expand AI-driven CNS collaboration worth $94.75 M

March 30, 2026 | Monday | News

Leveraging generative AI to jointly develop an additional innovative candidate

image credit- freepik

image credit- freepik

Hong Kong headquartered Insilico Medicine, a clinical-stage generative artificial intelligence (AI)-driven biotechnology company, and Tenacia Biotechnology (Hong Kong) Co., a commercial-stage biopharmaceutical company dedicated to developing innovative therapeutics for patients with underserved neurological disorders, have announced that, building on the productive collaboration over the past year, the two parties will further expand and deepen AI-driven R&D collaboration.

In the initial phase of the collaboration launched in March 2025, the companies' combined Insilico's cutting-edge generative AI drug discovery platform, Pharma.AI, and deep drug discovery expertise with Tenacia's specialised scientific insights and proprietary data assets. The program focused on developing small-molecule inhibitors with strong blood–brain barrier (BBB) permeability for central nervous system (CNS) treatment, is progressing smoothly.

Under the expanded agreement, the companies will leverage generative AI to jointly develop an additional innovative candidate with defined properties for challenging neurological diseases and advance it to the preclinical candidate (PCC) stage to address differentiated clinical needs.

By exploring molecules with distinct profiles, the partners aim to provide a broader and more precise set of therapeutic options for highly challenging nerve system-related conditions, helping mitigate late-stage development risk and improve potential clinical benefit. The expanded collaboration carries additional potential deal value of up to $94.75 million, with Insilico eligible to receive near-term and milestone payments from Tenacia.

Leveraging its end-to-end AI platform and deep understanding of disease, Insilico has continued to expand its footprint in CNS therapeutics in recent years. In early 2026, Insilico entered into a co-development agreement with Hygtia Therapeutics, a joint venture of Fosun Pharma, to advance ISM8969 targeting NLRP3 for CNS treatment. The parties will share 50/50 global rights, and Insilico is eligible to receive upfront and milestone payments totaling over HK$500 million. The programme has received FDA clearance to initiate clinical trials for Parkinson's disease in Jan 2026.

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