Eli Lilly bets on blood cancer drugs with $2.3B deal
What's the story
Eli Lilly, a leading pharmaceutical company, has announced its plan to acquire Ajax Therapeutics for up to $2.3 billion in cash. The acquisition is part of Eli Lilly's strategy to develop a new oral treatment for myelofibrosis, a rare and chronic blood cancer. The clinical data for this innovative treatment is expected by 2026.
Treatment details
Ajax's lead asset currently in early-stage testing
Ajax Therapeutics's lead asset, AJ1-11095, is an experimental once-daily oral treatment. It is currently in early-stage testing for patients with previously treated myelofibrosis. The disease is characterized by the accumulation of scar tissue in the bone marrow, which disrupts normal blood cell production. Eli Lilly intends to quickly advance this promising treatment into larger trials.
Future plans
Hope to leverage our expertise in blood cancer treatment: Lilly
Jacob Van Naarden, President of Lilly Oncology, expressed his anticipation for the clinical proof-of-concept data presentation in 2026. He also emphasized their intention to quickly advance AJ1-11095 into registrational clinical trials. "We look forward to the presentation of clinical proof-of-concept data later in 2026," said Van Naarden. He added that they hope to leverage their expertise in blood cancer treatment to deliver another important new medicine for patients and hematologists.
Payment structure
Acquisition deal includes milestone payments
The total value of the acquisition deal between Eli Lilly and Ajax Therapeutics includes an upfront payment as well as additional payments contingent on the achievement of certain clinical and regulatory milestones. This structure is designed to incentivize progress in the development of AJ1-11095, furthering Eli Lilly's commitment to advancing treatment options for blood cancers.