Eli Lilly to Acquire Merida Biosciences for $2.88 Billion

Eli Lilly and Company plans to acquire Merida Biosciences, Inc. for up to $2.88 billion in cash to expand its portfolio in autoimmune and allergic diseases. The deal consists of an upfront cash payment and additional milestone payments tied to developmental success, with closure expected in the fourth quarter of 2026.

Merida Biosciences develops products targeting auto-antibodies. Its most advanced candidate is currently in first-stage testing for Graves’ disease and thyroid eye disease. The acquisition is part of a broader strategy by Eli Lilly to diversify its pipeline beyond the diabetes and weight-loss markets.

This move follows a period of aggressive spending for Eli Lilly, which has announced more than $20 billion in deals this year. These include the acquisitions of Kelonia Therapeutics and Centessa Pharmaceuticals Plc, funded by revenues from the company's Mounjaro and Zepbound products.