Eli Lilly to acquire Kelonia Therapeutics in a USD3.25B deal to advance in vivo CAR-T cancer therapies

USA—Eli Lilly has agreed to acquire Kelonia Therapeutics for USD3.25 billion in upfront cash, marking its second in vivo CAR-T deal this year.

The agreement also includes potential clinical, regulatory, and commercial milestone payments that could raise the total value to USD7 billion, according to an April 20 announcement.

Through this acquisition, Lilly aims to strengthen its position in next-generation cancer therapies, particularly in vivo CAR-T approaches that engineer immune cells directly inside the body rather than outside it.

Promising early data in multiple myeloma

Kelonia’s lead program, KLN-1010, targets B-cell maturation antigen (BCMA) and is currently in phase 1 trials for relapsed or refractory multiple myeloma.

Early data released last year showed a 100% minimal residual disease-negative response rate among the first four patients evaluated, highlighting the therapy’s early potential.

In addition to KLN-1010, Kelonia brings its proprietary in vivo gene placement system.

This platform uses engineered lentiviral particles that selectively enter T cells, enabling a more streamlined, potentially scalable treatment approach.

Expanding access to CAR-T therapies

Jacob Van Naarden, president of Lilly Oncology and head of corporate business development, described the early clinical results as highly encouraging.

He noted that the findings not only support KLN-1010 as a potential treatment for multiple myeloma but also validate Kelonia’s broader platform.

He added that while autologous CAR-T therapies have improved outcomes for many cancer patients, challenges related to manufacturing, safety, and accessibility still limit their use.

Kelonia’s in vivo approach, he said, could address these barriers by offering a simpler, off-the-shelf solution that delivers rapid, durable responses.

Industry interest in in Vivo platforms

Kelonia’s technology has already attracted attention across the pharmaceutical industry.

Johnson & Johnson partnered with the biotech in November, while Astellas Pharma, through its Xyphos unit, established a collaboration in 2024.

The platform builds on research from Massachusetts Institute of Technology scientist Michael Birnbaum and work conducted at the French National Centre for Scientific Research.

Kelonia launched in 2022 with USD50 million in Series A funding from Venrock.

Part of a broader deal-making strategy

Lilly continues to expand aggressively into advanced therapeutics.

Earlier this year, it acquired Orna Therapeutics for up to USD2.4 billion, further signaling its commitment to the in vivo CAR-T space.

The broader industry has followed a similar path.

Gilead Sciences acquired Interius BioTherapeutics and signed a major deal with Pregene, while AbbVie, Bristol Myers Squibb, and AstraZeneca have also invested heavily in related technologies.

Alongside its CAR-T acquisitions, Lilly has pursued additional deals across gene editing, inflammation, and gene therapy, supported in part by strong revenue growth from its diabetes treatment franchise, including Mounjaro.