GSK (GSK) established an exclusive global licensing deal with Frontier Biotech to develop and commercialize two small interfering RNA drug candidates, Frontier Biotech said Tuesday.

The agreement has a $40 million upfront payment, alongside up to $963 million based on regulatory and commercial milestones, along with tiered global royalties based on worldwide net sales, the companies said.

The transaction grants the biopharmaceutical company worldwide rights to a preclinical asset and another treatment currently at the investigational new drug stage, they said.

The biotechnology firm will manage early-stage testing in China before GSK assumes control of all subsequent worldwide clinical, regulatory, and commercialization efforts, they added.