ePillz.com - Eli Lilly Buys ICOS Corporation

Eli Lilly Buys ICOS Corporation

October 17, 2006 - ICOS Corporation –

ICOS Corporation announced about the signed agreement, according to which ICOS Corporation will be acquired by Eli Lilly and Company. The names of both companies are closely linked to Cialis, the newest and very promising medication, which is used to treat erectile dysfunction in men.

The story of ICOS Corporation started in 1990, when the company was founded to discover and develop novel pharmaceutical products with high commercial potential for the treatment of serious medical diseases. Later in 1998 ICOS formed 50/50 joint venture with Eli Lilly, the pharmaceutical company with 130 years of history. The main goal of the joint venture Lilly ICOS LLC was to develop Cialis and distribute it worldwide.

Lilly ICOS existed only for 8 years, but its achievements are quite remarkable, mainly due to the unique profile of Cialis tablets, which appeared on the market after Viagra and Levitra, but offered ED patients new benefits, ensuring high efficiency, low rate of side effects and the longest period of action in comparison to the analogue products (Cialis is commonly known as the “weekend pill”).

Among the accomplishments of the ICOS Corporation are: - becoming one of the top-tier biotech companies in the USA;

- development of Cialis, which became a revolutionary drug in treating the erectile dysfunction in spite of the fact that Viagra and Levitra appeared prior to Cialis;

- covering 26% of ED market in the USA and 36% in Europe, Canada and Mexico;

- development of once-a-day dosing of Cialis;

- evaluating tadalafil (the main component of Cialis) in the treatment of such diseases, as benign prostatic hyperplasia and pulmonary arterial hypertension.

All the achievements of ICOS Corporation along with the rights on Cialis were valued by Eli Lilly at $2.1 billions, which will be paid out in cash to all ICOS shareholders till the end of year 2006 or early 2007.

According to the press-release, the success of ICOS was summarized by its chairman Paul Clark, who said, "In our relatively short history, ICOS has achieved great success. Everyone at ICOS should be proud of all that we have accomplished together. We are pleased that Lilly has recognized this value, and will continue to build off this success to improve the lives of millions of people worldwide."

It is interesting to note that the history of Eli Lilly, which started in far 1876, is very interesting. The key achievements of the company are introduction of the first insulin product in 1922; a significant contribution to the development of penicillin, world first antibiotic; development of Prozac, the most commonly prescribed antidepressant. The list of the latest company’s hits includes Evista against postmenopausal osteoporosis and Xigris for the treatment of severe sepsis.

Commenting on the acquisition of ICOS Corporation, Sidney Taurel, Lilly chairman and chief executive officer, said “We have had a very successful and productive relationship with our partners at ICOS and are looking forward to taking this next step. With full ownership of Cialis, we will be able to realize operational efficiencies in the further development, marketing and selling of this important product.”

Finally, the most important thing here is that the acquisition of ICOS by Eli Lilly will, undoubtedly, open a new page of Cialis history, bringing new benefits to many people worldwide, who suffer from erectile dysfunction and search for the best featured treatment option.

Nick

External resources
http://phx.corporate-ir.net/phoenix.zhtml?c=109092&p=irol-newsArticle&ID=9172...
http://newsroom.lilly.com/ReleaseDetail.cfm?ReleaseID=214900
http://www.lilly.com/news/milestones_index.html