Eli Lilly Just Unveiled A Major Biotech Collaboration In China

Eli Lilly and Co LLY unveiled one of the largest biotech collaborations in China to date in a deal aimed at cancer drugs.

Lilly changed hands recently at $74.67, up $0.45.

Indianapolis-based Lilly will team up with China-based Innovent Biologics Inc. for the development and potential commercialization of at least three cancer treatments over the next decade.

Related Link: Maxim: Our Vertex Pharma Thesis Is Unchanged

Privately held Innovent will lead development and manufacturing, while Lilly will handle commercialization.

Innovent will receive an upfront payment of $56 million from Lilly, which could also make future development payments of more than $400 million.

Additional terms weren't disclosed.

Lilly will contribute its cMet monoclonal antibody gene for possible treatment of non-small cell lung cancer, while Innovent will contribute a monoclonal antibody and a pre-clinical immuno-oncology molecule.