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New Delhi: India is stepping up its efforts to advance artificial intelligence-driven healthcare innovation, with the government approving Rs 86 crore in financial support for Peptris Technologies Pvt Ltd's drug development programme. The funding will help move four AI-discovered drug candidates towards potential clinical development, targeting conditions including cancer, hair loss, neuropathy and Duchenne muscular dystrophy.
The Technology Development Board (TDB), operating under the Department of Science and Technology (DST), has signed an agreement with the company under the Research Development and Innovation (RDI) Fund, according to an official statement released on Monday. The project, titled VIGOR: Advancing AI-Discovered Molecules from Bench to Clinic, has a total estimated cost of Rs 172 crore and is scheduled to run for three years.
The government's financial assistance is intended to help Peptris advance promising molecules beyond the computational discovery stage and towards the development milestones required before human clinical trials. The support will be provided through an Optionally Convertible Debt (OCD) arrangement, according to the statement. AI is increasingly being used in pharmaceutical research to identify potential drug molecules and accelerate early-stage discovery. However, identifying a promising molecule through computational methods is only the first step in developing a medicine.
Researchers must also establish its safety, assess its effectiveness in preclinical studies, validate experimental findings and complete other regulatory requirements before a candidate can enter clinical trials. Peptris' VIGOR programme aims to address this transition by combining its proprietary AI-driven drug discovery platform with experimental validation and established pharmaceutical development processes.
The programme will focus on four drug candidates currently at Technology Readiness Level (TRL)-4, with the objective of advancing them to TRL-6 through further development and validation. The candidates cover several therapeutic areas where significant unmet medical needs remain.
PEPR111: Targeting neuromuscular disorders and oncology.
PEPRX101: Targeting alopecia, a condition associated with hair loss.
PEPR202: Targeting neuropathy, which involves damage or dysfunction of nerves.
PEPR112: Targeting Duchenne muscular dystrophy (DMD), a serious genetic disorder that causes progressive muscle weakness.
The project aims to take these candidates through advanced preclinical development and other essential milestones. The stated targets represent development objectives, rather than confirmation that the drug candidates are already proven treatments or ready for routine medical use.
Over the next three years, the VIGOR programme will undertake a range of development activities designed to prepare the four molecules for potential clinical evaluation. These activities include advanced preclinical studies, investigational new drug (IND)-enabling work, formulation development, validation and preparation for clinical trials.
The programme will also cover clinical trial preparation and initiation activities, subject to scientific findings and applicable regulatory requirements. Progress will depend on the results of experimental studies, safety assessments and the regulatory process. Government funding does not by itself establish that any of the candidates will ultimately be approved for use in patients.
The Ministry of Science and Technology said the project is intended to bridge the gap between AI-based drug discovery and clinical development while strengthening India's capabilities in biotechnology, pharmaceuticals and AI-enabled healthcare innovation. TDB Secretary Rajesh Kumar Pathak highlighted the potential of artificial intelligence to transform pharmaceutical research, while emphasising the importance of sustained investment and scientific validation.
The government-backed initiative reflects a broader push to support research-intensive companies working to convert scientific discoveries into potential commercial and therapeutic applications.
Peptris said the financial support would help the company take its VIGOR programme through critical preclinical milestones and accelerate the development of molecules identified using its AI platform. The company's approach combines computational discovery with laboratory-based experimental validation and established drug development methods. The objective is to improve the transition from identifying promising molecules to producing drug candidates that can be evaluated in clinical settings. With a total project cost of Rs 172 crore, the programme represents a significant investment in India's emerging AI-led pharmaceutical research ecosystem.
However, the ultimate outcome will depend on the scientific and regulatory progress of the four candidates. Their advancement could help demonstrate how AI-assisted discovery can contribute to the development of potential therapies for diseases with limited or unmet treatment options.
