Pharma BD Deal Intelligence
Eli Lilly's $1.6B all-cash acquisition of ARMO BioSciences bet big on pegilodecakin, a Phase III immuno-oncology candidate spanning pancreatic, lung, kidney, and melanoma tumors. The bust came fast: pivotal trial data failed to show benefit, and Lilly wrote off the program within two years of closing.
Ranks computed across 828 graded deals (Critic + Outcome Score both present).
Lilly to acquire ARMO BioSciences for $1.6B adding pegilodecakin immuno-oncology candidate.
Eli Lilly closes $1.6bn ARMO BioSciences acquisition, bolstering its immuno-oncology program through the addition of pegilodecakin, a PEGylated IL-10.
Source summaries from our enrichment pipeline; follow links for originals.
All 4 sources with sentiment breakdown →
Eli Lilly acquired ARMO BioSciences for approximately $1.6 billion ($50 per share) in an all-cash tender offer, gaining pegilodecakin (PEGylated IL-10), a Phase III immuno-oncology asset being studied across multiple solid tumor types.
200K US cases/yr · $30.0B Global NSCLC therapeutics
NSCLC accounts for ~85% of lung cancers. Treatment has been revolutionized by immunotherapy and targeted therapies for driver mutations (EGFR, ALK, ROS1, KRAS G12C). Checkpoint inhibitors are standard first-line for most patients without actionable mutations.
No driver mutation: pembrolizumab +/- chemo. EGFR+: osimertinib. ALK+: alectinib, lorlatinib. KRAS G12C: sotorasib. Key players: Merck (Keytruda $25B+), Roche (Tecentriq), AZ (Tagrisso $5B+, Imfinzi), Pfizer (Lorbrena), Amgen (Lumakras).
100K US cases/yr · $12.0B Global melanoma therapeutics
Melanoma treatment has been revolutionized by checkpoint immunotherapy and BRAF/MEK targeted therapy. Adjuvant immunotherapy has improved cure rates for resected high-risk disease.
BRAF-mutated: dabrafenib + trametinib or encorafenib + binimetinib. BRAF-wt: nivolumab +/- ipilimumab or pembrolizumab. Key players: BMS (Opdivo, Yervoy, Opdualag), Merck (Keytruda), Novartis (Tafinlar+Mekinist), Iovance (lifileucel).
82K US cases/yr · $8.0B Global RCC therapeutics
RCC accounts for ~90% of kidney cancers. IO-TKI combinations have become standard first-line for advanced disease.
First-line: pembrolizumab + lenvatinib, nivolumab + cabozantinib, or nivolumab + ipilimumab. Key players: Merck/Eisai (Keytruda+Lenvima), BMS (Opdivo), Exelixis (Cabometyx), Pfizer (Inlyta).
64K US cases/yr · $3.0B Global pancreatic cancer therapeutics
Pancreatic ductal adenocarcinoma has the worst prognosis of any major cancer. Most patients present with advanced disease. Chemotherapy remains backbone with limited targeted therapy options.
Resectable: surgery + adjuvant FOLFIRINOX or gemcitabine/capecitabine. Advanced: FOLFIRINOX or gemcitabine/nab-paclitaxel. Multiple KRAS-targeted programs in development. Key players: Celgene/BMS (Abraxane), Ipsen (Onivyde).
Eli Lilly completed $1.6B acquisition of ARMO BioSciences ($50/share), gaining pegilodecakin (AM0010), PEGylated IL-10 immunotherapy for solid tumors.
Lilly's pegilodecakin failed Phase 3 SEQUOIA trial in metastatic pancreatic cancer — missed OS primary endpoint. $1.6B write-off taken on the $1.6B ARMO BioSciences acquisition.
Pegilodecakin failed Phase 3 in pancreatic cancer, showing no survival benefit over standard chemotherapy. Program discontinued.
Pegilodecakin failed pivotal trial and was discontinued. $1.6B acquisition resulted in near-total loss. IL-10 immunotherapy did not translate clinically.
| Deal | Year | Value | Outcome |
|---|---|---|---|
| Eli Lilly and Company / ARMO BioSciences Inc. (this deal) | 2018 | $1.6B | 15 |
| Eli Lilly and Company / Boehringer Ingelheim GmbH | 2011 | $444M | 89 |
| Eli Lilly and Company / Loxo Oncology, Inc. | 2019 | $8.0B | 88 |
| Eli Lilly and Company / Applied Molecular Evolution Inc. | 2003 | $400M | 88 |
| Eli Lilly and Company / ICOS Corporation | 2006 | $2.3B | 87 |
| Eli Lilly and Company / Novartis Animal Health | 2014 | $5.4B | 70 |
| Eli Lilly and Company / Incyte Corporation | 2009 | $755M | 69 |
← Browse all deals · How we score deals
More: 2018 deals · Eli Lilly and Company deals · Oncology deals