Lilly makes ICOS final offer

Eli Lilly has increased its offer to acquire all of the outstanding shares of common stock in the merger with Washington, US-based biopharma development company ICOS. The total purchase price will now be around $2.3 bn.

The proposed $34 share price reflects a $2 per share increase from the $32 per share in the original merger agreement, and Lilly is affirming that this is its best and final offer. "We are confident that ICOS shareholders will recognise the substantial value and the certainty that Lilly is offering," said Sidney Taurel, Lilly chairman and chief executive officer.

The boards of directors of both companies have unanimously approved the revised merger agreement. Shareholders will vote on the merger on January 25, 2007.

ICOS already markets Cialis (tadalafil), for the treatment of erectile dysfunction, through Lilly ICOS LLC and is currently developing treatments for benign prostatic hyperplasia, pulmonary arterial hypertension, cancer, psoriasis and inflammatory diseases.