TOKYO - Indianapolis-based Eli Lilly and Co. (NYSE: LLY) has entered into a technology license agreement with a Japanese biopharmaceutical company. The agreement with PeptiDream Inc. concerns products developed through the use of the company's Peptide Discovery Platform System technology.

The drugmaker says PeptiDream will receive upfront and annual technology access payments, as well as potential royalties based on future sales of products that arise through the use of its technology. The Japanese company will continue to work with Lilly on drug development.

PeptiDream says it has established discovery collaborations with many other pharmaceutical giants, including AstraZeneca, Ipsen, GlaxoSmithKline and Bristol-Myers-Squibb.

In a release from PeptiDream Inc., Chief Executive Officer Kiichi Kubota said, "We are delighted that Lilly has decided to internalize our PDPS technology. Our PDPS technology aims to target sites not identified by conventional methods, which can then serve as the starting point for the development of either peptide or small molecule based therapeutics. The license with Lilly is a testament to how PDPS technology is changing the way drugs are discovered."