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Home>Evotec Invests in Exscientia to Advance AI-Driven Drug Discovery

Evotec Invests in Exscientia to Advance AI-Driven Drug Discovery

Evotec Invests in Exscientia to Advance AI-Driven Drug Discovery

09/28/2017

Evotec Invests in Exscientia to Advance AI-Driven Drug Discovery

  • EVOTEC TO INVEST EUR 15 M IN EXSCIENTIA, A PIONEER OF ARTIFICIAL INTELLIGENCE ("AI") IN DRUG DISCOVERY
  • NEW FUNDS WILL ENABLE EXSCIENTIA TO ACCELERATE GROWTH
  • EXPANSION OF EXISTING PARTNERSHIP TO DISCOVER NOVEL IMMUNO-ONCOLOGY THERAPEUTICS
  • FIRST EVOTEC PROJECT SUPPORTED BY RECENT EUR 75 M LOAN FACILITY FROM THE EUROPEAN INVESTMENT BANK

Evotec AG (Frankfurt Stock Exchange: EVT, TecDAX, ISIN: DE0005664809) and Exscientia Ltd ("Exscientia") today announced that Evotec has made a EUR 15 m investment to take a minority stake in Exscientia. Through this investment, Evotec becomes the first strategic shareholder in the UK-based company. Exscientia is focused on Artificial Intelligence ("AI")-driven drug discovery and design. With more than 1,800 scientists, Evotec has one of the largest and leading drug discovery platforms in the industry.

Exscientia and Evotec have cooperated since early 2016 to advance small molecules and bispecific small molecules in immuno-oncology. The ongoing success of this partnership was the basis of this expanded and deepened corporate relationship. Exscientia is the world leader in developing and applying AI approaches specifically to design new and better therapeutic molecules in a faster and more cost-effective manner. Exscientia's approach fuses the power of AI with the discovery experience of seasoned drug hunters and chemistry experts. This investment will enable Exscientia to drive higher value partner programmes and expand discovery on its automated design platform.

Dr Werner Lanthaler, Chief Executive Officer of Evotec, said: "Our investment in Exscientia represents Evotec's single biggest equity placement to date and in, what we feel, is the world leading AI technology company. Working with Exscientia on a joint immuno-oncology project over the past year, we have experienced first-hand how its AI approaches, along with our medicinal chemistry platform, can positively and radically impact drug discovery. We are very excited about the joint potential to leverage AI in chemistry. This investment is also the first time that we can efficiently use our recently awarded EUR 75 m loan facility from the European Investment Bank to bring down cost of capital for such an investment."

Commenting on the investment, Prof. Andrew Hopkins, Chief Executive Officer of Exscientia, added: "Exscientia and Evotec have built a close relationship over the past year sharing mutual interest in agile innovation. We are delighted that Evotec has made this investment for a minority equity stake, allowing Exscientia to deliver more drug discovery projects in a rapid and capital efficient manner. I'm also delighted that Dr Mario Polywka, Chief Operating Officer of Evotec, will join Exscientia's Board of Directors, allowing us to benefit from his strong operational expertise in growing successful biotech companies."

About Exscientia and AI-driven drug discovery Exscientia is at the forefront of Artificial Intelligence (AI)-driven drug discovery and design. By fusing the power of AI with the discovery experience of seasoned drug hunters, Exscientia is the first company to automate drug design, surpassing conventional approaches.

The innovative platform enables breakthrough productivity gains as well as new approaches to improve drug efficacy. Novel compounds prioritised for synthesis by Exscientia's AI systems simultaneously balance potency, selectivity and pharmacokinetic criteria in order to deliver successful experimental outcomes.

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