The global obesity epidemic has paved the way for local scientists to drive a deal that could be worth hundreds of millions of dollars, and is potentially the richest of its type seen in Australia.

Shares in Pharmaxis surged on Monday on news it has signed a deal with a global drugs major to pursue development of a compound developed by local scientists which has barely made it to the test tube.

The deal is a major coup for Australian scientists. Credit:Bloomberg

Under the deal, European drug company Boehringer Ingelheim is to pay Pharmaxis as much as €195 million ($278 million) – including €55 million upfront – for a compound to treat liver problems that is yet to begin formal clinical trials.

As the compound proceeds through the various stages of drug research and development, including lodging and receiving government approvals for launch, Pharmaxis is set to receive further payments.