Eli Lilly to buy privately held SiteOne in deal worth up to $1 billion
Eli Lilly will buy privately held SiteOne Therapeutics in a deal worth as much as $1 billion, the companies said on Tuesday, giving the drugmaker access to an experimental non-opioid pain medicine.
SiteOne's STC-004 belongs to a class of drugs, known as Nav1.8 inhibitors, that target the channels involved in transmitting pain signals.
Vertex Pharmaceuticals' recently approved non-opioid painkiller Journavx also belongs to the same class.
Under the terms of the agreement, SiteOne shareholders could receive up to $1 billion in cash, inclusive of an upfront payment and subsequent payments upon achievement of certain regulatory and commercial milestones.
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CNBC
4 hours ago
- CNBC
Here's what is driving Tuesday's stock rally — plus, an analyst comes to Eli Lilly's defense
Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. Markets: Stocks are rallying on Tuesday, overcoming yet another premarket decline like we saw Monday. The data center and AI infrastructure trade — ranging from semiconductor stocks like Nvidia and Broadcom to industrials like GE Vernova and Eaton — is powering the market higher in reaction to Meta Platform's 20-year agreement to buy nuclear power from Constellation Energy . The Club owns all these stocks, except for Constellation Energy. Meanwhile, there was no real news on the trade negotiation front. A big thing to watch on trade in the coming days is whether President Donald Trump and Chinese leader Xi Jinping do, in fact, hold a call. The White House has indicated such a conversation is likely to happen this week. Eli Lilly: JPMorgan reiterated its overweight rating and $1,100 price target on Club name Eli Lilly in a research note on Tuesday. The main takeaway from the note was that volume trends for Lilly's GLP-1 drug portfolio — Zepbound for obesity and Mounjaro for type 2 diabetes — were running ahead of JPMorgan's expectations, resulting in the analysts raising their already above-consensus revenue forecast for the second quarter. JPMorgan cited two factors behind the increased estimates: strong growth in the obesity market, with prescriptions up approximately 25% quarter over quarter, and Eli Lilly capturing nearly three-quarters of all new patient starts. Importantly, JPMorgan thinks this strong category and share growth will help Lilly's prescriptions continue to grow despite the CVS formulary change to make rival Novo Nordisk's Wegovy the preferred GLP-1 for weight loss. This goes into effect on July 1. However, according to Lilly, it is only expected to impact roughly a couple hundred thousand patients. JPMorgan also doesn't think the Novo Nordisk and CVS deal will lead to a GLP-1 price war. The script trends and JPMorgan's belief that Lilly can offset any CVS headwind is very encouraging — especially on the CVS angle because that bit of news has been a huge overhang on Lilly shares ever since it was announced May 1. The broader pharmaceutical group has also been under pressure due to uncertainty tied to possible sectoral tariffs and drug pricing regulation. Lilly stock had fallen more than 20% in the month of May before mounting a modest rally in recent days. We added to our Lilly position a few weeks ago at around $715 per share. Before Eli Lilly reports second-quarter earnings in August, the next major event is the 2025 American Diabetes Conference, taking place between June 20 to June 23. There are expected to be several high-profile data readouts and presentations at the conference. In a separate note by JPMorgan, the analysts said investors should watch out for the full late-stage trial results from Eli Lilly's oral GLP-1 orforglipron. Eli Lily shares surged in April after GLP-1 pill was successful in a late-stage trial for type 2 diabetes, potentially paving the way for Food and Drug Administration approval in early 2026. Similarly, another readout to watch is more complete trial data for Novo Nordisk's CagriSema, which is a combination of an amylin analog called cagrilintide along with semaglutide, the active ingredient behind Wegovy and Ozempic. It targets fat loss and was thought to be Novo's next-generation product to follow up Wegovy. However, its preliminary trial results disappointed earlier this year. Amgen is also expected to release its mid-stage trial data on MarTide, which is a once-monthly GLP-1 injection. Finally, JPMorgan said we could see some data on one of Elil Lilly's next-gen weight loss drugs, bimagrumab. That was one of the assets that Lilly acquired as part of its acquisition spree in 2023 , and muscle mass preservation is one of its distinguishing features. Up next: Club name CrowdStrike reports after the closing bell on Tuesday. The LSEG consensus estimate is for revenue of $1.10 billion and EPS of 65 cents. We expect management will reaffirm its outlook that net new annual recurring revenue growth will reaccelerate in the second half the fiscal year, driven by strong adoption of the Falcon Flex platform and the expiration of the Customer Commitment Package incentive program. Other companies report are Hewlett Packard Enterprise and Asana . Thor Industries and Dollar Tree report before the opening bell on Wednesday. On the economic data side, there's weekly mortgage applications, the ADP private employment report, and ISM's look at the services industry. (See here for a full list of the stocks in Jim Cramer's Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Yahoo
5 hours ago
- Yahoo
Camurus and Lilly enter collaboration and license agreement for long-acting FluidCrystal® incretins
Partnership focused on development of long-acting therapies based on Camurus' FluidCrystal® technology and Eli Lilly's proprietary drug compounds Camurus eligible to receive up to $870 million in potential development and sales milestone payments and mid-single-digit royalty LUND, Sweden and INDIANAPOLIS, June 3, 2025 /PRNewswire/ -- Camurus (NASDAQ STO: CAMX) and Eli Lilly and Company ("Lilly") have entered a collaboration and license agreement, granting Lilly exclusive, worldwide rights to the research, development, manufacture, and commercialization of long-acting incretin products for cardiometabolic health based on Camurus' FluidCrystal technology. The agreement comprises up to four Lilly proprietary drug compounds.* "We are pleased to enter into this collaboration with Lilly to bring innovative long-acting treatment options to people living with obesity, diabetes, and other serious chronic diseases", said Fredrik Tiberg, President & CEO, CSO of Camurus. "Through the collaboration with Lilly, a global leader in the metabolic disease area, we leverage our FluidCrystal technology in rapidly expanding indication areas impacting hundreds of millions of people, while maintaining our own commercial focus on CNS and rare diseases." In return for granting Lilly the license to use the FluidCrystal technology for the selected incretin drug compounds for cardiometabolic health, Camurus is eligible to receive up to $290 million in upfront, development, and regulatory milestone payments as well as $580 million in sales-based milestone payments and tiered mid-single digit royalties on global net product sales. *Selected from dual GIP and GLP-1 receptor agonists, triple GIP, glucagon and GLP-1 receptor agonists, and an option to include amylin receptor agonists. For more informationFredrik Tiberg, President & CEOTel. +46 (0)46 286 46 Fredrik Joabsson, Chief Business Development OfficerTel. +46 (0)70 776 17 37ir@ About FluidCrystal Camurus' proprietary FluidCrystal technology is designed to deliver therapeutic levels of drug substance over extended periods - from days to months - with a single injection using a prefilled syringe or autoinjector pen. Upon contact with bodily fluids in the tissue, the lipid solution transforms into a liquid crystalline gel that quickly and effectively encapsulates the active ingredient. As the liquid crystalline matrix gradually degrades in the tissue, the drug is slowly released. The technology is commercially and regulatory validated by market approvals and product sales in Europe, the US, and Australia. About Camurus Camurus is an international, science-led biopharmaceutical company committed to developing and commercializing innovative, long-acting medicines for improving the lives of patients with severe and chronic diseases. New drug products with best-in-class potential are conceived based on the company's proprietary FluidCrystal® technology and its extensive R&D expertise. The R&D pipeline includes products for the treatment of dependence, pain, cancer, and endocrine diseases. Camurus has operations across Europe, the US, and Australia, with headquarters in Lund, Sweden. The company's shares are listed on Nasdaq Stockholm under the ticker CAMX. For more information, visit and LinkedIn. This information is information that Camurus AB is obliged to make public pursuant to the EU Market Abuse Regulation. This information was submitted for publication, through the agency of the managing director, at 7.45 pm CET on 3 June 2025. CONTACT: This information was brought to you by Cision The following files are available for download: Press release View original content: Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Forbes
10 hours ago
- Forbes
LLY Stock Too Cheap At $750?
LONDON,ENGLAND - MAY 30: A photo illustration of a Mounjaro pen on May 30 2025 in London, England. ... More Mounjaro is a treatment for weight loss and type 2 diabetes. (Photo by Peter Dazeley via Getty Images) Question: Why would you pay 81 times earnings for AbbVie stock when you can buy LLY for a similar valuation of 76 times earnings? You wouldn't, especially when you consider three simple facts: Safe Bet? While Eli Lilly (LLY) might not be a traditional "safe haven" stock, its past performance during market shocks offers some perspective. During the 2022 inflation shock, LLY stock saw a 19% decline, and it fell 23% during the 2020 COVID-19 pandemic market correction. However, when compared to the broader market, LLY has demonstrated relative resilience. The S&P 500 index experienced a more significant peak-to-trough decline of 25% during the 2022 inflation shock and a 34% fall during the COVID-19 pandemic correction. Furthermore, LLY stock has already absorbed some significant impact, having fallen over 20% from its 52-week high of over $970 to current levels below $750. In contrast, if you're more even handed, consider the Trefis High Quality strategy, has outperformed the market with more than 91% returns since inception - as evident in HQ performance metrics. Separately, see – Merck Stock's Ticking Keytruda Time Bomb Winner In Obesity Drugs: If you generally believe the obesity is here to stay and with or without healthcare policy changes, Eli Lilly may not be a bad long-term bet, given its current position. Layer on the fact that Lilly, with its superior efficacy, is a leader in this obesity treatment race. The market for GLP-1 drugs is expected to grow to $150 billion by 2030, with Eli Lilly and Novo Nordisk currently dominating through their GLP-1 drugs that have collectively generated over $40 billion in sales last year. Worry about whether daily pills, weekly injections, or combination therapies will win the battle. The race may be too early to call, but Lilly is positioning itself across multiple fronts with both injectable Zepbound and promising oral GLP-1 formulations showing nearly 8% weight loss in trials. What Could Go Wrong? Eli Lilly's earnings could disappoint, and its rapid growth might slow from 30% to around 20% in the coming years. This potential slowdown could be due to increased competition in the obesity treatment market, as more pharmaceutical companies are achieving success with their clinical trials. Notably, Boehringer Ingelheim, Amgen, Viking Therapeutics, and Roche are all developing promising therapies that could challenge Eli Lilly's market position. Then there is the unexpected, unimagined. Definitely do not touch this if you can't stand more downside from here. Worse thing you could do is sell at that point. Instead talk to an adviser who's seen four bear markets in the last 30 years about Trefis HQ strategy plus other clever ways you can take advantage in the current market. Clue: much money is made in this market, if you don't lose your nerve. All said, if you're a long term investor and want to invest and forget for the next 3-5 years, Eli Lilly right now could be an interesting entry point.
