Intercept Pharmaceuticals and Les Laboratoires Servier have entered into a worldwide agreement for the discovery and development of novel TGR5 agonists for the treatment of type 2 diabetes and other metabolic indications. The collaboration will leverage Intercept's drug discovery platform based on its proprietary bile acid analog chemistry and expertise targeting TGR5 and other bile receptors.

Under the terms of the agreement, Intercept will receive up to $163 million in total upfront, research support and milestone payments, as well as royalties on sales, based on the successful outcome of the collaboration. Intercept and Servier will jointly support the discovery effort, while Servier alone will be responsible for all costs associated with the global development, regulatory approval and commercialization of any compound selected as a lead candidate by the parties. Intercept retains all rights in the U.S. and Japan.