Eli Lilly is putting down a $41 million payment to acquire exclusive rights to MacroGenics' diabetes drug teplizumab in a deal that could be worth more than a billion dollars in total. MacroGenics also gets a $10 million financing arrangement, up to $200 million in development milestones for diabetes, sales milestones of $250 million and up to $600 million for other approvals of molecules developed by the two companies. For MacroGenics, the deal with Lilly marks a key turning point as it develops new therapies for cancer, autoimmune diseases and infectious diseases. Teplizumab is its lead therapy and marks Eli Lilly's continued interest in acquiring more biotech drugs for development.
"The additional capital brought into the company will give us the ability to expand our portfolio and work in other areas," MacroGenics chief executive Dr. Scott Koenig told the Baltimore Sun said in an interview.
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