Eli Lilly’s Baqsimi Acquired by Amphastar: What This Means for People With Diabetes
On Monday, April 24, 2023, Eli Lilly announced that it would divest its glucagon product, Baqsimi, to Amphastar, in an effort to expand the availability of this first and only nasally administered glucagon for the treatment of severe low blood sugar levels in people with diabetes.
Amphastar, which already produces and distributes the first and only generic injectable glucagon product, will be able to take the production of Baqsimi and provide the dedicated commercial investment needed to enable more people on insulin to be prepared to treat severe hypoglycemia.
As reported in the press release, the sale of Baqsimi will allow Lilly to focus on newer, breakthrough treatments for people with diabetes.
“Our portfolio of therapies continues to make life better for people with diabetes, and we will continue this important mission while also increasing our focus on advancing our pipeline of potential breakthrough treatments,” said Mike Mason, executive vice president and president, Lilly Diabetes and Obesity.
The next-generation treatments that Lilly is actively investing and working on include a glucose-sensing insulin platform, glucose-responsive insulins that can sense sugar levels in the blood and automatically activate as needed and a once-weekly basal insulin designed to provide a long-acting basal insulin for the treatment of diabetes.
“The acquisition of Baqsimi will integrate our core strategic vision of strengthening our proprietary products profile in addition to enhancing our diabetes portfolio offering,” said Jack Zhang, PhD, Amphastar’s president and CEO. “We are optimistic about Baqsimi’s growth potential as it is the first and only commercial intranasal glucagon demonstrated to treat low blood sugar emergencies.”
Lilly said they are working closely with Amphastar to ensure a smooth, successful transition and that patients should not expect disruptions to supply or their ability to access the medication.
Amphastar will pay Lilly $500 million at closing and an additional $125 million on the first anniversary of the deal’s closing. Lilly will also receive sales-based milestone payments of up to $450 million after closing.
The divestment transaction is expected to close in the second or third quarter of 2023.