On Monday, Eli Lilly And Co (NYSE:LLY) announced plans to boost its presence in the U.K., following a collaboration with the U.K. government that was revealed at the International Investment Summit.
The global pharmaceutical giant is set to invest in a new Gateway Lab in the U.K., building on the country's leading life sciences sector. This 279 million pounds ($294.41 million) investment will tackle significant health challenges and further solidify the U.K.'s reputation as a world leader in healthcare innovation.
The life sciences sector is already worth 108 billion pounds to the U.K. economy, and the partnership with Lilly demonstrates its ongoing value in advancing public health.
With the planned Gateway Lab marking the first such facility in Europe, the U.K. is positioning itself at the forefront of global scientific progress.
Amid the excitement around new investments, scrutiny continues over Lilly's Alzheimer's drug, donanemab.
David Ricks, CEO of Eli Lilly, has touted the drug's potential as a groundbreaking treatment that could prevent Alzheimer's by addressing the buildup of amyloid plaques in the brain.
In a meeting with former U.K. Health Secretary Victoria Atkins in December 2023, Ricks described donanemab as a "one-and-done" treatment that could stop Alzheimer's before symptoms appear. However, data supporting this claim remain limited, and the drug is still undergoing trials, with results not expected until 2027.
European regulators have been more cautious than their U.S. counterparts regarding new Alzheimer's treatments like donanemab and lecanemab. The European Medicines Agency (EMA) has already rejected Eisai Co., Ltd (OTC:ESALY) and Biogen Inc.'s (NASDAQ:BIIB) lecanemab due to safety concerns, specifically related to amyloid-related imaging abnormalities (Aria), such as brain swelling and bleeding.
Over a third of donanemab patients experienced Aria during clinical trials, raising similar concerns.
While the U.K.'s Medicines and Healthcare Products Regulatory Agency (MHRA) is currently reviewing donanemab, it has already approved lecanemab, though the National Institute for Health and Care Excellence (NICE) ruled the drug too costly for NHS prescriptions.
The challenges in adopting these new treatments also stem from the complexity and cost of diagnosing Alzheimer's early enough for the drugs to be effective, the Financial Times highlighted.
Expensive PET scans are required to identify eligible patients, and there are concerns over the limited availability of PET cameras in the U.K.
Price Action: LLY stock is trading 0.07% lower at $931.40 at last check Monday.
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