BMS comments on Lilly-ImClone deal

Bristol-Myers Squibb (BMS) has noted the effect of the plans from Eli Lilly to acquire ImClone Systems for a total consideration of $6.5 billion (3.7 billion pounds).

The company said it owns around 16.6 per cent of all outstanding shares of ImClone – around 14.4 million – with the Eli Lilly offer of $70 per share being worth around $1 billion in cash to BMS once the transaction is completed.

It added it was pleased to have started a process that has resulted in the substantial increase in the value of ImClone for its stockholders.

BMS also said it was proud to have contributed to this value creation through the provision of research and development and commercial support during its relationship with ImClone – a relationship which will now continue with Eli Lilly.

James M Cornelius, chairman and chief executive officer of the company, said: “From the beginning, we had viewed our potential acquisition of ImClone as a strategically and financially sound add-on to our oncology business, consolidating a successful relationship that has extended over seven years.”

He added the company would work closely with Eli Lilly to market cancer drug Eribitux (cetuximab) and other compounds, including IMC-11F8, to which it owns long-term commercialisation rights.

Last month, BMS and ImClone announced five-year overall survival data from a phase III study of Erbitux.