Eli Lilly and Company entered a definitive agreement to acquire clinical-stage biotechnology firm Kelonia Therapeutics. The deal includes an upfront payment of $3.25 billion. Potential milestone payments could add $3.75 billion to the total. The transaction carries a maximum potential value of $7.0 billion.
Kelonia develops in vivo gene delivery technology to treat cancer. This method enables a patient's body to generate its own CAR-T cell therapies. The off-the-shelf solution avoids the complex process of engineering cells outside the body. Lilly gains the lead candidate KLN-1010, which is currently in Phase 1 trials for multiple myeloma.
The acquisition is expected to close in the second half of 2026. This marks Lilly's second major investment in in vivo cell therapy during 2026. The move expands Lilly's oncology pipeline and genetic medicine capabilities. The strategy diversifies the company's portfolio beyond its core diabetes and obesity treatments.