Eli Lilly to buy Kelonia Therapeutics in up to $7 billion cancer immunotherapy drug deal

Summary

CNBC's Angelica Peebles reports on Eli Lilly's agreement to acquire Kelonia Therapeutics for up to $7 billion, highlighting the potential of in vivo CAR-T therapies for cancer treatment. The deal represents Lilly's strategy to diversify its portfolio using profits from obesity drugs. Kelonia's lead drug is in early-stage trials and could compete with existing therapies from companies like J&J and Gilead.

• Eli Lilly announces acquisition of Kelonia Therapeutics for up to $7 billion with $3.25 billion upfront.
• Kelonia is developing in vivo CAR-T therapies that reprogram T cells inside the body to attack cancer.
• The lead drug targets multiple myeloma and is in Phase 1 clinical trials.
• If successful, the drug would compete with J&J's Carvykti and Gilead's cell therapies.
• Lilly plans to use the technology for other blood cancers and potentially solid tumors.
• Lilly is using revenue from its obesity drugs to diversify into new therapeutic areas.
• The acquisition follows recent deal activity by Lilly, indicating ongoing strategic investments.
• The deal aims to make CAR-T treatments more accessible compared to current methods.