Eli Lilly is in advanced talks to acquire Kelonia Therapeutics for more than $2 billion, according to a report on April 19, in a deal that could deepen the drugmaker’s push into cancer and genetic medicines.
The said the transaction could be reached as soon as Monday and may include additional payments tied to Kelonia hitting certain milestones. Kelonia Therapeutics is a Boston-based clinical-stage biotechnology company working on a pipeline of genetic medicines across a range of diseases, with a focus on CAR-T cell therapies.
The talks come as Lilly broadens its reach beyond obesity drugs and into other parts of the biopharma market. The company’s cancer portfolio already includes Jaypirca and the breast cancer drug Verzenio, and in February it said it would acquire Orna Therapeutics for up to $2.4 billion in cash.
If completed, a purchase of Kelonia would fit that pattern. Lilly has been diversifying into cancer, inflammatory bowel disease, eye disorders and gene-editing technologies through acquisitions and partnerships, a strategy that has accelerated as the company looks for growth outside its best-known medicines.
The open question is whether the negotiations close on the timetable reported by the and at the price level described. For Kelonia, a deal above $2 billion would mark a major payoff for a company still in the clinical stage; for Lilly, it would be another expensive bet that the next wave of growth will come from technologies still far from broad commercial use.
