Eli Lilly Sells Imclone to Celltrion for $330M

Eli Lilly has reportedly sold Imclone Systems to Celltrion for $330 million. Imclone is a biotech company that develops cancer therapies. Eli Lilly is a leading pharmaceutical group with a diversified portfolio, including endocrinology, oncology, immunology, neurology, and other therapeutic fields. The company generates most of its sales from the United States, followed by Europe, Japan, China, and other regions.

Celltrion Inc. (068270), a South Korean biotech company, has acquired Imclone Systems LLC from Eli Lilly for $330 million. The acquisition, announced in a regulatory filing in South Korea on Tuesday, aims to shield the company from potential U.S. pharmaceutical tariffs [^1, 2, 3].

Imclone Systems, a subsidiary of Eli Lilly, operates a biopharmaceutical manufacturing plant in Branchburg, New Jersey. The plant is a fully operational drug substance manufacturing facility that can start operating immediately upon acquisition. It covers 148,700 square meters, including production facilities, a logistics warehouse, a technology support center, and an operations building. The site also has about 36,360 square meters of unused land reserved for future capacity expansion Celltrion acquires Eli Lilly bio plant in New Jersey^[3].

Celltrion Chairman Seo Jung-jin stated that the company will invest a total of 1.4 trillion won ($1 billion) to run and acquire the plant and expand its facilities. The up-front amount is 700 billion won, including the acquisition price and early operation costs, with the remaining 700 billion won to be used for expansion Celltrion acquires Eli Lilly bio plant in New Jersey^[3].

The acquisition includes the full succession of existing employment, allowing the facility to continue running without workforce gaps and maintain operational stability and productivity. The deal also includes a contract manufacturing organization (CMO) agreement, with half of the New Jersey plant’s lines continuing to produce drug substances for Eli Lilly products, while the other half will be used for Celltrion products Celltrion acquires Eli Lilly bio plant in New Jersey^[3].

Celltrion expects the plant to gain U.S. authorities’ approval within this year and to start manufacturing Celltrion and Eli Lilly products by the end of next year. The company anticipates that the plant will generate operating profit on par with other CMOs, helping to recoup the initial investment more quickly Celltrion acquires Eli Lilly bio plant in New Jersey^[3].

The acquisition is part of Celltrion’s strategy to insulate its biotech operations from U.S. pharma tariffs. The company has been transferring stockpiles to the U.S. and securing local manufacturing facilities to cushion the tariff impact Celltrion acquires Eli Lilly bio plant in New Jersey^[3].