Lilly to buy ImClone

Share this article:

Lilly has announced plans to acquire ImClone for $6.5 billion.

The move follows months of bickering between ImClone and Bristol-Myers Squibb (BMS) regarding the appraisal value, the potential of ImClone's pipeline and, in early September, the emergence of a secret bidder.

BMS, which owns 16.6% of ImClone, had initially offered to buy the remainder of ImClone for $60 a share, valuing the company at $4.5 billion. That bid was rejected, and BMS returned to the table with a $4.7 billion dollar offer, upping the share price to $62. Imclone rejected that bid as well, citing a mystery bidder prepared to offer $70 a share, pending due diligence.

Lilly turned out to be the mystery bidder, and successfully entered into a definitive merger with ImClone on October 6. Erbitux, ImClone's billion dollar cancer treatment, will continue to be co-marketed by ImClone and BMS in the US.

“We think very highly of ImClone's groundbreaking work in oncology, particularly its success with Erbitux…and its ability to advance promising biotech molecules in its pipeline,” said John Lechleiter, president and CEO of Lilly, in a statement.

Share this article:

Email Newsletters

More in News

FDA kind of OKs Lilly/BI's Lantus look-alike

FDA kind of OKs Lilly/BI's Lantus look-alike

Sanofi's patent lawsuit triggered the tentative approval of the Lilly-BI Lantus competitor.

GSK relaunches COPD.com

GSK relaunches COPD.com

The refresh launched soon after the company encouraged investors to take a long view of GSK as the firm posted weak respiratory numbers.

Six things for pharma marketers to know: Tuesday, August 19

Six things for pharma marketers to know: Tuesday, ...

Lilly/BI receives tentative approval for insulin biosimilar; Ebola death rate hits new high; LaMattina sounds off on Pfizer's oncology efforts; art therapy becoming the norm in hospitals.