Boehringer Ingelheim and Eli Lilly join forces to develop new diabetes treatments

Germany’s largest independent pharmaceutical firm Boehringer Ingelheim and US drug major Eli Lilly (NYSE: LLY) yesterday announced a global agreement to jointly develop and commercialize a portfolio of anti-diabetic compounds currently in mid- and late-stage development for the fast-growing diabetes market.

Included in the deal are Boehringer Ingelheim’s two oral diabetes agents - linagliptin and BI10773 - as well as Lilly’s two basal insulin analogues - LY2605541 and LY2963016. There is also the option to co-develop and co-commercialize Lilly’s anti-TGF-beta monoclonal antibody.

Under the terms of the accord, Lilly will make an initial one-time payment to Boehringer Ingelheim of 300 million euros ($389.4 million). The German company will be eligible to receive up to a total of 625 million euros in success-based regulatory milestones for linagliptin and BI10773. For its part, Lilly will be eligible to receive up to a total of $650 million in success-based regulatory milestones on its two basal insulin analogues.