Peptron is receiving attention for collaborating with global pharmaceutical giant Eli Lilly on peptide drug research.

In a public filing on Monday, Peptron said it has signed an agreement with Eli Lilly to collaborate on peptide drug discovery using its SmartDepot platform technology.

The contract will run for 14 months, and the companies will operate a joint research committee with shared research staff.

Peptron will provide Eli Lilly with a non-exclusive, worldwide license, which Eli Lilly will use for internal, non-commercial research and development purposes.

Under the agreement, Eli Lilly will conduct research on applying Peptron's SmartDepot technology to its peptide drugs, which may form the basis for future commercial license agreements.

The contract amount and other terms of the agreement remain confidential. Still, the upfront payment will be equivalent to 10 percent or more of Peptron's revenue in the immediately preceding business year. Peptron's fiscal year 2023 revenue was about 3.3 billion won ($2.4 million).

Eli Lilly reserves the right to terminate the agreement at any time upon 30 days' prior written notice, in which case all upfront and milestone payments will be non-refundable.