Eli Lilly in Talks to Acquire ImClone for $6.1 Billion

Eli Lilly (Indianapolis, In) is the mystery bidder "in advanced talks" to acquire ImClone Systems (New York, NY), according to a report today in Wall Street Journal’s Health blog. The deal, yet to be confirmed by either company, would value ImClone at $6.1 billion. Eli Lilly’s offer, at $70 a share, would be higher than the $4.5 billion all-cash offer that Bristol-Myers Squibb (BMS, New York, NY) made for ImClone in September ($60 a share, later raised to $62).

ImClone's Chairman, Carl Icahn, said in September that he had held talks with an unidentified "large pharmaceutical company" about a potential $70-a-share bid, after dismissing BMS’s offer as "absurd." BMS has already raised its bid once and has said that its bid is fair.

In a public statement, ImClone Chairman Carl Icahn said that the mystery bidder for ImClone has made a proposal not subject to financing or further due diligence. Negotiations are reportedly underway and the company has requested that ImClone not reveal the bidder's name until negotiations are complete.