Eli Lilly and Company (LLY) on Monday said it has agreed to buy Scorpion Therapeutics' experimental cancer therapy PI3Ka inhibitor program STX-478 for up to $2.5 billion in cash.
STX-478 is a once-daily oral, mutant-selective PI3Ka inhibitor currently being evaluated in a Phase 1/2 clinical trial for breast cancer and other advanced solid tumors.
STX-478 could represent the next generation of PI3Ka targeting agents by selectively targeting the pathway in cancerous but not healthy cells, thus overcoming a key limitation of currently available medicines that target the PI3Ka pathway. This approach could potentially offer better disease control through deeper pathway inhibition, as well as improved tolerability.
Under the terms of the agreement, Lilly will acquire Scorpion and Scorpion shareholders could receive up to $2.5 billion in cash, inclusive of an upfront payment and subsequent payments upon achievement of certain regulatory and sales milestones.
Additionally, as part of the transaction, Scorpion will spin out a new entity to hold its employees and non-PI3Ka pipeline assets. The new, independent company would be owned by Scorpion's current shareholders with Lilly holding a minority equity interest.
The new company will be led by Dr. Friedman and members of the current Scorpion management team and will focus on discovering and delivering a portfolio of precision medicines to patients, accelerated by Scorpion's discovery capabilities and non-PI3Ka pipeline of medicines.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.