Lilly Acquires Merida Biosciences for $2.875 Billion; Elon Musk's Comments Impact GE Vernova
Eli Lilly has acquired Merida Biosciences in a cash deal valued up to $2.875 billion, expanding its focus on innovative biologics targeting autoimmune and allergic diseases. The acquisition aligns with Lilly’s strategy of leveraging recent obesity drug profits for further growth through M&A. CEO David Ricks emphasized the company's increased activity this year compared to 2026. Meanwhile, GE Vernova shares fell by 2% following Elon Musk's announcement that SpaceX is developing in-house casting technology for natural gas turbine blades and vanes. This move has also pressured Howmet Aerospace’s stock as investors assess potential disruptions to the supply chain. Analysts suggest it may take at least four years before SpaceX can produce such components commercially, which could allow GE Vernova to maintain strong pricing power. The broader market saw energy stocks rise due to heightened geopolitical tensions between the U.S. and Iran over the weekend, pushing oil prices above $85 per barrel for WTI crude.
Topics: biotech_deals energy oil_prices treasury_yields