Eli Lil­ly to buy di­a­betes cell ther­a­py part­ner Sig­ilon, ex­pand­ing bet on pre­clin­i­cal pro­gram

Eli Lil­ly will buy its di­a­betes cell ther­a­py part­ner Sig­ilon Ther­a­peu­tics, which came out of Flag­ship Pi­o­neer­ing, about five years af­ter the two com­pa­nies first made a pact in type 1 di­a­betes.

The deal is struc­tured to have Lil­ly pay $34.6 mil­lion, or $14.92 per share, up­front for Sig­ilon’s out­stand­ing eq­ui­ty. It could dole out an­oth­er $111.64 per share in cash if cer­tain mile­stones are met: dos­ing the first pa­tient, first dos­ing in reg­is­tra­tion-di­rect­ed tri­al and first reg­u­la­to­ry ap­proval. In to­tal, it could be worth as much as $309.6 mil­lion, ex­clud­ing the val­ue of Lil­ly’s shares. It wasn’t im­me­di­ate­ly clear what to­tal val­u­a­tion that would rep­re­sent for Sig­ilon. Their ear­li­er de­vel­op­ment deal was worth as much as $473 mil­lion.

Unlock this article instantly by becoming a free subscriber.

You’ll get access to free articles each month, plus you can customize what newsletters get delivered to your inbox each week, including breaking news.

SIGN UP LOG IN BECOME A PREMIUM SUBSCRIBER