Expanded AI collaboration in dermatology between Absci and Almirall, worth up to $650 million

In an exciting development, biotech company Absci and pharmaceutical firm Almirall have expanded their 21-month-old AI collaboration to develop and commercialize AI-designed therapeutics for chronic and debilitating skin diseases.

The partnership, originally launched in November 2023, aims to leverage Almirall's dermatology expertise with Absci's Integrated Drug Creation platform. This platform, which uses AI to design and optimize drug candidates, has the potential to significantly reduce the time required for drug development.

The expansion of the collaboration follows successful results from the generation of AI-designed, functional antibody leads against the first, undisclosed target. This target was characterized as difficult to drug, making the achievement even more noteworthy.

Karl Ziegelbauer, Almirall's chief scientific officer, expressed excitement about using advanced AI capabilities to design therapeutic candidates against historically challenging disease targets. He stated, "We are thrilled to continue our collaboration with Absci, harnessing the power of AI to tackle some of the most difficult-to-treat skin diseases."

Sean McClain, Absci's founder and CEO, echoed Ziegelbauer's sentiments, stating that the collaboration's progress demonstrates the success of AI de novo drug design for unlocking novel biology where traditional approaches have failed.

The expanded collaboration includes an undisclosed upfront payment from Almirall, payments tied to achieving R&D and post-approval milestones, and royalties on product sales. Absci will be responsible for designing and validating the candidates, while Almirall will lead the preclinical and clinical development programs.

The second target for the jointly developed and commercialized AI-based therapeutics focuses on chronic and severe skin diseases, but the specific target name or disease remains undisclosed. The companies plan to share more about the program as it progresses into later stages of preclinical testing and clinical trials.

Financial updates from both companies also highlight promising developments. Absci reported a $30.6 million net loss on revenue of $0.6 million for the second quarter, down from its Q2 2024 results. However, Absci extended its cash runway into the first half of 2028 after raising $50 million through an underwritten public offering of common stock and approximately $14 million through its "at-the-market" facility.

On the other hand, Almirall reported a 72% year-over-year jump in net income during the first half of 2025, and a nearly 13% increase in revenue. These financial gains underscore the potential for successful collaborations in the pharmaceutical industry.

The partnership between Absci and Almirall was facilitated by the professional relationship between Ziegelbauer and Absci's chief innovation officer, Andreas Busch, during their time at Bayer Pharmaceuticals. This connection has led to a promising collaboration that could revolutionize the treatment of chronic and debilitating skin diseases.

Expanded AI collaboration in dermatology between Absci and Almirall, worth up to $650 million