Eli Lilly Enters Into Licensing Agreement With Hanmi in $1.2 Billion Deal

Paul, Weiss is advising Eli Lilly and Company in its licensing agreement for the development, manufacturing and commercialization of Hanmi’s novel GLP-2 biologic drug candidate sonefpeglutide, which is aimed at treating short bowel syndrome. Under the terms of the deal, Lilly will obtain exclusive rights to develop, manufacture and commercialize sonefpeglutide worldwide, excluding Korea. It will make an upfront payment of $75 million, with potential further payments up to $1.185 billion for clinical development, regulatory approval and commercialization milestones. Hanmi will also be eligible to receive royalties after the product launch.

The Paul, Weiss team is led by intellectual property partner Jeffrey Osterman and counsel Phil Grudzina.