January 11, 2011
Company news: Eli Lilly and Boehringer Ingelheim
Eli Lilly will pay Boehringer Ingelheim $387.4 million as part of a deal to jointly develop and commercialize several diabetes pipeline agents. Products covered under the pact include two oral agents from BI—DPP-4 inhibitor linagliptin, filed with the FDA, and SGLT-2 inhibitor BI10773, in Phase III—and two basal insulin analogues from Lilly which will enter Phase III this year, plus an option on Lilly's anti-TGF-beta monoclonal antibody. The firms will split revenues from any approved drugs, and the deal includes milestone payments -- up to $1 million for Lilly and up to $807 million for BI. “This deal should inject some life into [Lilly's] diabetes franchise, which has been losing share,” wrote Credit-Suisse analyst Catherine Arnold in an investor note today.