INDIANAPOLIS (WPTA21) — A global pharmaceutical company headquartered in Indiana is set to purchase a company focused on cancer treatment.
Eli Lilly and Company announced Monday morning a purchase agreement is in place for the company to acquire Loxo Oncology for approximately $8 billion. This is a biopharmaceutical company focused on the development and commercialization of medicines for patients with cancer.
The company said Loxo Oncology is developing targeted medicines focused on cancers that are dependent on single-gene abnormalities that can be detected by genomic testing. For patients with these types of cancers, a targeted medicine could have the potential to treat the cancer.
“We are excited to have reached this agreement with a team that shares our commitment to ensuring that emerging translational science reaches patients in need,” said Jacob Van Naarden, chief operating officer of Loxo Oncology. “We are confident that the work we have started, which includes an FDA approved drug, and a pipeline spanning from Phase 2 to discovery, will continue to thrive in Lilly’s hands.”
Under the agreement, Lilly will have to acquire all outstanding shares of Loxo Oncology for a purchase price of $235 per share in cash, or approximately $8 billion. It is not subject to any financing condition and is expected to close by the end of the first quarter of 2019.