Lilly to Pay as Much as $2.5 Billion for Scorpion’s Cancer Drug

Eli Lilly & Co. will pay as much as $2.5 billion in cash to acquire a cancer drug that Scorpion Therapeutics Inc. is testing in early and mid-stage trials.

The purchase includes an unspecified upfront payment along with additional payments tied to business goals, according to a statement from the companies on Monday. Lilly will acquire all of closely held Scorpion while investing in a spinout of the biotech that will develop its other pipeline assets, according to the statement.