Biotech
Eli Lilly Will Invest an Extra $5.3 Billion in Making Weight Loss Drugs
Eli Lilly is investing $5.3 billion in a new Indiana plant to increase production of diabetes and weight loss drugs, raising total facility investment to $9 billion. This expansion addresses drug shortages and solidifies Lilly’s market lead. The plant will employ 900 people, with production starting in late 2026. Lilly’s Q1 2024 revenue grew 26%, driven by strong drug sales.
Eli Lilly, with everything in the race for the weight loss drug market. The American company will invest another $5.3 billion in a new manufacturing plant in Indiana to boost production of diabetes and weight loss drugs. With this contribution, the total investment in the facilities will rise to 9,000 million dollars.
The company’s injectables for diabetes sufferers and weight loss suffer from shortages due to increased demand. Sales of these products have elevated Eli Lilly to the status of the world’s largest pharmaceutical group by market value, with $768 billion as of Thursday’s market close. Together with Novo Nordisk, their main competition in this product, they could create a market valued at more than $100 billion in the future.
David Ricks, CEO of Eli Lilly, assures that the expenditure on the new plant is “the largest investment in manufacturing in the history” of his company, and ventures to affirm that “it represents the largest investment in the manufacturing of active pharmaceutical ingredients.” (API) of synthetic medicine in United States history .
Eli Lilly will employ 900 full-time people at the new plant
Eli Lilly has spent $18 billion on various operations to build five plants in the United States and Europe to produce the raw materials used in the manufacture of tirzepatide, the compound in its most popular drugs, and for fill and finish operations.
The new Indiana plant, whose construction began last year, will begin producing drugs at the end of 2026, although operations linked to its construction will continue to expand until the end of 2028 . According to company estimates, it will employ 900 full-time workers.
The American pharmaceutical company achieved a turnover of 8.77 billion dollars in the first quarter of the year, which implies a year-on-year growth of 26% . Net income has reached $2.24 billion in the same period, 67% more than in 2023, exceeding the estimated $2.2 billion.
The pharmaceutical company attributes this growth, precisely, to the good sales of the antidiabetic drugs Mounjaro, Jardiance and Zepbound, and the oncological treatment Verzenio. Mounjaro alone already generated $1.81 billion in the first quarter of 2024.
__
(Featured image by Total Shape via Unsplash)
DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
First published in PlantaDoce. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us
-
Markets1 week ago
Why FCOJ Futures Closed Lower This Past Week
-
Crowdfunding2 days ago
Lemonway Case: InnovUp’s Appeal to Bankitalia to Prevent the Halt to Italian Lending Crowdfunding
-
Cannabis2 weeks ago
France Proposes to Classify CBD as a Toxic Substance at European Level
-
Fintech1 week ago
Paybyrd Chooses Mangopay to Optimize its Merchants’ Payment Experience