IBJNews

Lilly reacquires migraine medicine after encouraging results

Back to TopCommentsE-mailPrintBookmark and Share

More than two years after selling rights to an experimental migraine treatment to an outside firm, Eli Lilly and Co. announced Monday it is buying the drug back.

Positive results from a Phase 2 trial in patients convinced the Indianapolis-based drugmaker to reacquire the medicine, which goes by the name LY2951742. Lilly will likely conduct a Phase 3 trial, the last stage of testing before it can submit the drug for market approval.

The drug was licensed from Lilly in 2011 by Massachusetts-based Arteaus Therapeutics, a company formed at the same time by two venture capital firms, OrbiMed and Atlas Venture.

Lilly did not disclose the financial terms of its deal with Arteaus. However, Lilly will record a fourth-quarter charge of $57.1 million to reflect the reacquisition costs and Lilly’s assumption of ongoing development expenses of the drug.

The drug, which is known as a calcitonin gene-related peptide, or CGRP, antibody, was discovered by Lilly scientists. It is one of nine experimental drugs Lilly has licensed to outside firms as a way to share the risk of research and development costs. Lilly calls this risk-sharing arrangement with venture capital firms its Capital Funds Portfolio.

The migraine medicine is the first one Lilly has reacquired from a participating venture-backed drug company.

“Through this strategy, independent investment firms and portfolio companies provide a unique way to access, share risks, and expand funding to develop molecules, such as the CGRP antibody, to help speed the delivery of timely valued medicines to patients who are waiting,” said Jan M. Lundberg, president of Lilly Research Laboratories, the R&D arm of Lilly.

Lundberg helped discover the characteristics of CGRP 30 years ago as a researcher in Sweden, according to Reuters.

Lilly--along with New Jersey-based Merck & Co. Inc., Germany-based Beohringer Ingelheim GmbH and other drugmakers--has been trying to develop CGRP-antibodies because no other drugs are effective over the long term at alleviating migraine headaches.

The number of Americans that suffer from migraines each year is estimated to be at least 9 million and as high as 30 million. Without an effective drug, patients seek relief from a bevy of other treatments, including acupuncture, chiropractic therapy and even Botox.

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. Choice between a democrat and a question mark? Take the question mark. We have all seen what the democrats will do.

  2. Its easy to blame workers. What about the Management of the Mill. Its not smart in business to not have a back up plan. Workers are afforded sick days in most cases. Union or not. Whether drunk partying, or a real sickness. Why would you as a businessman/woman not have a rotation of workers incase this happens. This is not an exclusive union protection. If the company can prove bad intentions on the part of any union employee. They can take action. Most CBA's have a 3 strike policy. Just like most Non-union company policies. You should read a CBA sometime. There are protections for companies too. Unions understand that businesses need to make money. If they don't, the union's member won't have a place to work.

  3. My kids play hockey on the North side and we have been very happy with the youth program. More Ice would create more opportunity for kids to pay this great sport. With 3 rinks that would also create more figure skating opportunities. What better gift to give your kids than a sport they will love!

  4. Naah, only Indy place fans were robbed of seeing Zanardi race. CART fans saw his amazing talents just about every weekend. And F1 fans saw him too. Zanardi didn't care he wasn't at Indy, neither do 99.18% of other race fans world wide. And CART fans are quite pleased of the domination of their drivers and owners have had at Indy, in the IRL, and in the current Indycar series....almost 99.18% of the time since 2000 Indy 500. I respect Zanardi, but his life goes on without Indy. Sucks to be you Capt.

  5. So let me get this right: gun permits online are fraud proof, but voting is as easy as 1-2-3.--But at least we agree that someone without a photo ID cannot be trusted with a gun.

ADVERTISEMENT