(Bloomberg) -- Eli Lilly & Co plans to invest £279 million ($364 million) in a new initiative to support UK biotechs along with a study of the impact of its blockbuster drugs for diabetes and obesity on the use of health-care resources.
The Indianapolis-based drugmaker’s investment includes as much as £204 million to establish a Lilly Gateway Labs location in the UK, according to an emailed statement Monday, giving early-stage biotechs access to Lilly’s expertise, lab space and potential financial investment. Other UK investments include a 5-year real-world study of tirzepatide, the drug known as Mounjaro in the US when used for diabetes and Zepbound for weight loss.
The UK has aimed to position itself as a life-sciences superpower, but struggled to attract and retain investment. Lilly Chief Executive Officer Dave Ricks described the initiative at a meeting in London where international business leaders committed to invest in Britain, while the government pledged to ease regulation of business.
Along with patients’ use of health care, the tirzepatide study will monitor changes in their employment status and sick days, according to the statement. Lilly said it will work with the government to explore other investment opportunities, such as manufacturing sites and collaborations with the country’s venture capital funds.
Lilly shares were little changed in trading before markets opened in New York.
©2024 Bloomberg L.P.