Lilly to buy migraine-drug maker for $960 million

Eli Lilly and Co. will buy migraine-medicine maker CoLucid Pharmaceuticals for $960 million, both companies said in a news release Wednesday.

CoLucid is developing lasmiditan, a migraine medicine that could help patients with cardiovascular disease. Clinical testing on lasmiditan is scheduled to be completed later this year, and the new drug could get U.S. regulatory approval by 2018.

“Lasmiditan is a novel, first-in-class molecule that could represent the first significant innovation for the acute treatment of migraine in more than 20 years,” David A. Ricks, Lilly’s president and chief executive officer, said in a statement.

The deal brings the drug back to where it was discovered. Lilly scientists patented lasmiditan and licensed it to CoLucid in 2005.

“We are excited that lasmiditan will be back at Lilly, where it was originally discovered, for the conclusion of Phase 3 development and potential commercialization,” Thomas P. Mathers, CoLucid’s chief executive officer, said in a statement.

Lilly also acquires other CoLucid drugs including headache medication galcanezumab and the pain-killer tanezumab, which is being studied in a partnership with Pfizer.

Under the terms of the deal, Lilly will buy CoLucid Pharmaceuticals for $46.50 per share for a total of about $960 million.

The deal, if it clears federal anti-trust rules, is expected to close by March.

Call IndyStar reporter Vic Ryckaert at (317) 444-2701. Follow him on Twitter: @vicryc.