Eli Lilly ends development of BIL diabetes treatment
Eli Lilly & Co. said on Friday it was ending development of a potential diabetes treatment, known as basal insulin peglispro (BIL), after disappointing trial results. The drug maker has said in February that it was delaying regulatory submission of BIL to better understand the potential effects, if any. The company expects the decision on BIL will result in a $55 million charge to research and development expenses. Lilly said, however, its earnings-per-share outlook remains unchanged. "While we are encouraged by the efficacy data we observed for BIL, we know that moving forward would have required a significant amount of time and investment with no assurance that we would find conclusive answers," said President Enrique Conterno. "We are disappointed in the outcome for BIL, but we have an unprecedented opportunity to build upon the industry's broadest diabetes portfolio, which includes six new treatments approved since the middle of 2014." The stock, which was still inactive in premarket trade, has climbed 20% year to date, while the S&P 500 has slipped 0.5%.
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