Eli Lilly and Company (NYSE:LLY): Closing price $52.36
Lilly will pay the Canadian drug developer Transition Therapeutics $7 million, and assume control of the development of a potential diabetes treatment that is moving into mid-stage clinical testing. Transition reported on Monday that it also could receive as much as $240 million in additional royalties along with royalties once the treatment is eventually approved and sold. The company will also pay Lilly $14 million in three installments during the mid-stage study. The treatment, which is labeled TT-401, is being developed to treat the most common form of diabetes, type 2, and the accompanying obesity.