Lilly to acquire Ajax Therapeutics to advance outcomes for patients with myelofibrosis and polycythemia vera

Rhea-AI Summary

Eli Lilly (NYSE: LLY) agreed to acquire Ajax Therapeutics to obtain AJ1-11095, a first-in-class, once-daily oral Type II JAK2 inhibitor in a Phase 1 trial for myelofibrosis and polycythemia vera. Dose selection and proof-of-concept data are expected in 2026. Ajax shareholders may receive up to $2.3 billion in cash, including upfront and milestone payments. The deal is subject to customary closing conditions, including Hart-Scott-Rodino antitrust clearance. Lilly plans rapid advancement toward registrational trials and will reflect the transaction in its GAAP financials after close.

Positive

• Acquires a first-in-class Type II JAK2 clinical asset
• AJ1-11095 in Phase 1 with PoC data expected later in 2026
• Deal includes up to $2.3 billion in upfront and milestone payments

Negative

• AJ1-11095 remains early stage (Phase 1), clinical risk remains high
• Transaction contingent on Hart-Scott-Rodino clearance and closing conditions
• Potential up to $2.3 billion cash consideration could affect near-term capital allocation

News Market Reaction – LLY

-1.77%

-1.77% Session close to close

In the Apr 27 session, LLY declined 1.77%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement adds AJ1-11095, a first-in-class Type II JAK2 inhibitor in Phase 1, to Lilly’s hem...

Analysis

This announcement adds AJ1-11095, a first-in-class Type II JAK2 inhibitor in Phase 1, to Lilly’s hematology pipeline, with up to $2.3 billion in potential payments to Ajax shareholders. It follows several recent acquisitions aimed at broadening Lilly’s modalities and disease coverage. Investors may track progression of the ongoing AJX-101 trial, proof-of-concept data expected in 2026, and how this deal fits alongside other oncology and blood cancer initiatives disclosed in past transactions.

Key Figures

Development phase: Phase 1 Trial start: Late 2024 Proof-of-concept timing: Later in 2026 +1 more

4 metrics

Development phase Phase 1 AJ1-11095 current clinical development stage

Trial start Late 2024 Start of Phase 1 AJ1-11095 trial AJX-101

Proof-of-concept timing Later in 2026 First proof-of-concept clinical data for AJ1-11095

Total consideration $2.3 billion Maximum cash Ajax shareholders could receive including milestones

Previous Acquisition Reports

5 past events · Latest: Apr 20 (Positive)

Same Type Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Apr 20	Pipeline acquisition	Positive	-0.8%	Kelonia deal up to $7.0B to broaden in vivo CAR-T capabilities.
Mar 31	Neuroscience deal	Positive	+3.7%	Centessa acquisition up to $47/share to grow sleep-wake portfolio.
Feb 09	Cell therapy buy	Positive	-1.3%	Orna deal up to $2.4B to advance in vivo cell therapies.
Jan 07	Inflammation pipeline	Positive	-2.1%	Ventyx all-cash $1.2B acquisition for oral NLRP3 inhibitors.
Dec 09	Tender offer close	Positive	-1.5%	Completion of Adverum tender offer with cash and CVR structure.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Recent acquisition announcements have often been followed by small negative or mixed price reactions, with only one out of five tagged acquisition events showing a positive next-day move.

Recent Company History

Over the past several months, Lilly has repeatedly used acquisitions to expand its pipeline and modalities. Prior deals targeted in vivo CAR-T (Kelonia), sleep-wake disorders via OX2R agonists (Centessa), in vivo cell therapies (Orna), inflammatory-mediated diseases (Ventyx), and gene therapy (Adverum). Price reactions to these acquisition headlines ranged from roughly flat to modestly negative, with one notable positive move of 3.74% on the Centessa announcement. Today’s Ajax acquisition continues this strategy in hematologic malignancies.

Key Terms

type ii jak2 inhibitor, type i jak2 inhibitor, myelofibrosis, polycythemia vera, +3 more

7 terms

type ii jak2 inhibitor medical

"AJ1-11095, is a first-in-class Type II JAK2 inhibitor currently in Phase 1"

A type II JAK2 inhibitor is a drug designed to block the activity of the JAK2 enzyme by attaching to its inactive shape, preventing the enzyme from turning on and sending growth or inflammation signals in cells. For investors, this matters because this mechanism can affect a drug’s potential effectiveness, side‑effect profile and competitive positioning—similar to locking a door when it’s closed rather than trying to catch someone as they run through it—impacting clinical success and commercial value.

type i jak2 inhibitor medical

"previously been treated with a Type I JAK2 inhibitor."

A Type I JAK2 inhibitor is a small-molecule drug that blocks the JAK2 enzyme by fitting into its active working pocket and stopping the enzyme from switching on cell growth and inflammation signals. Investors track these drugs because their ability to reliably curb disease activity while avoiding side effects strongly influences clinical trial success, regulatory approval and commercial value—like a key designed to stop a single engine without breaking the whole machine.

myelofibrosis medical

"deliver deeper and more durable disease control than approved therapies for myelofibrosis and polycythemia vera"

A bone marrow disorder in which healthy, spongy marrow is gradually replaced by scar tissue, like a garden soil turned to concrete so seeds can’t grow. That replacement reduces production of red and white blood cells and platelets, causing anemia, fatigue, infections and an enlarged spleen. Investors care because the condition creates demand for therapies, clinical trials and regulatory decisions that can materially affect drug sales and company valuations.

polycythemia vera medical

"approved therapies for myelofibrosis and polycythemia vera"

A rare, long-term blood disorder in which the body makes too many red blood cells, thickening the blood and raising the risk of clots, bleeding, fatigue and other complications. Think of it like a faucet left partially open that slowly overfills a sink — the excess cells create strain and danger over time. Investors care because the condition drives demand for diagnostics, treatments and ongoing care, influences clinical trial and regulatory outcomes, and can affect revenue and costs for drugmakers, hospitals and insurers.

myeloproliferative neoplasms medical

"developing next generation JAK inhibitors for patients with myeloproliferative neoplasms (MPNs)"

Myeloproliferative neoplasms are a group of blood cancers caused by the bone marrow producing too many of one or more types of blood cells, which can crowd out normal cells and impair blood flow. Investors pay attention because these conditions create clear medical needs and predictable markets for diagnostics, therapies and follow-up care—similar to a failing factory that creates demand for repair services and replacement parts—affecting drug development, regulatory milestones and potential sales.

phase 1 clinical trial medical

"currently being evaluated in a Phase 1 clinical trial, AJX-101, in patients"

A phase 1 clinical trial is the first stage of testing a new drug or treatment in people, typically involving a small group to assess safety, how the body handles the treatment, and appropriate dosing. For investors, phase 1 results are an early risk check — like a test drive that can reveal fatal flaws or promising signals — and they often cause big changes in a drug’s perceived value and the company’s prospects.

generally accepted accounting principles (gaap) financial

"in accordance with Generally Accepted Accounting Principles (GAAP)."

A set of standardized rules and methods companies use to prepare and report financial statements, like a common recipe or rulebook for presenting money matters. It helps ensure numbers are prepared consistently so investors can compare results, spot trends, and judge a company’s health without being misled by different accounting tricks. Reliable, comparable reports make investment decisions and valuations more informed and less risky.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Ajax's lead program, AJ1-11095, is a first-in-class Type II JAK2 inhibitor currently in Phase 1 clinical development, with first proof-of-concept clinical data to be presented later in 2026

Based on its unique mode of binding JAK2, AJ1-11095 has the potential to deliver deeper and more durable disease control than approved therapies for myelofibrosis and polycythemia vera

Acquisition builds on Lilly's established capabilities in blood cancers

INDIANAPOLIS and NEW YORK and CAMBRIDGE, Mass., April 27, 2026 /PRNewswire/ -- Eli Lilly and Company (NYSE: LLY) and Ajax Therapeutics, Inc. ("Ajax"), a biopharmaceutical company developing next generation JAK inhibitors for patients with myeloproliferative neoplasms (MPNs), today announced a definitive agreement for Lilly to acquire Ajax. Ajax's lead asset, AJ1-11095, is an investigational, once-daily oral, first-in-class Type II JAK2 inhibitor currently being evaluated in a Phase 1 clinical trial, AJX-101, in patients with myelofibrosis who have previously been treated with a Type I JAK2 inhibitor.

All approved JAK2 inhibitors for patients with MPNs, including myelofibrosis and polycythemia vera, bind the Type I confirmation of JAK2. While these JAK2 inhibitors provide clinical and symptomatic relief, many patients often discontinue Type I JAK2 treatment due to a lack of durable benefit or loss of response. AJ1-11095 was designed as a selective Type II JAK2 inhibitor to not only deliver deeper and more durable efficacy than existing JAK2 inhibitors but also to provide a novel treatment option for those patients who become resistant to Type I JAK2 inhibitors. The Phase 1 clinical trial of AJ1-11095 began in late 2024 and dose selection for future clinical development is expected in 2026.

"As a founding strategic investor in Ajax, Lilly has long believed in the approach and is excited about the potential for AJ1-11095 to deliver deeper and more durable efficacy than available treatments with a tolerability profile that would allow for patients to remain on therapy longer and be used across both the first- and second-line settings," said Jacob Van Naarden, executive vice president and president of Lilly Oncology and head of corporate business development. "We look forward to the presentation of clinical proof-of-concept data later in 2026, rapidly advancing AJ1-11095 into registrational clinical trials, and using our expertise in blood cancer to hopefully deliver another important new medicine to patients and hematologists."

"We started Ajax to build on the work of its five scientific founders, including Ross Levine, MD, chief scientific officer at Memorial Sloan Kettering Cancer Center and chair of Ajax's scientific advisory board, who sought to develop a novel class of selective and more potent JAK2 inhibitors to address the significant unmet need of patients with MPNs," said Martin Vogelbaum, co-founder and chief executive officer of Ajax Therapeutics. "With a small but highly motivated team, we have successfully applied this work to the design and development of our highly selective, first-in-class Type II JAK2 inhibitor, AJ1-11095.  We now look forward to Lilly advancing AJ1-11095 through the clinic and providing a much-needed new therapy for patients with MPNs.  It has been an honor working with our employees and scientific advisors and we're grateful to our clinical investigators, and most importantly, the patients who have participated in our ongoing Phase 1 study, AJX-101."

Under the terms of the agreement, Lilly will acquire Ajax and Ajax shareholders could receive up to $2.3 billion in cash, inclusive of an upfront payment and subsequent payments upon the achievement of certain clinical and regulatory milestones.

The transaction is subject to customary closing conditions, including approval under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. Lilly will determine the accounting treatment of this transaction following closing in accordance with Generally Accepted Accounting Principles (GAAP). This transaction will thereafter be reflected in Lilly's financial results and financial guidance.

For Lilly Ropes Gray LLP is acting as legal counsel. For Ajax, Cooley LLP is acting as legal counsel. Kirkland & Ellis LLP also provided legal advice to Ajax.

About Ajax Therapeutics

Ajax Therapeutics, Inc. is pursuing uniquely selective approaches to develop novel next generation therapies for myeloproliferative neoplasms (MPNs), including myelofibrosis. By combining the deep cancer and structural biology insights of our founding scientists with the industry's most advanced computational structure-based drug discovery platforms from our founding collaboration partner, Schrödinger, Inc, we aim to discover and develop more precisely designed therapies to address the significant unmet needs for patients with MPNs. For more information, please visit www.ajaxtherapeutics.com.

About Lilly

Lilly is a medicine company turning science into healing to make life better for people around the world. We've been pioneering life-changing discoveries for nearly 150 years, and today our medicines help tens of millions of people across the globe. Harnessing the power of biotechnology, chemistry and genetic medicine, our scientists are urgently advancing new discoveries to solve some of the world's most significant health challenges: redefining diabetes care; treating obesity and curtailing its most devastating long-term effects; advancing the fight against Alzheimer's disease; providing solutions to some of the most debilitating immune system disorders; and transforming the most difficult-to-treat cancers into manageable diseases. With each step toward a healthier world, we're motivated by one thing: making life better for millions more people. That includes delivering innovative clinical trials that reflect the diversity of our world and working to ensure our medicines are accessible and affordable. To learn more, visit Lilly.com and Lilly.com/news, or follow us on Facebook, Instagram, and LinkedIn. F-LLY

Cautionary Statement Regarding Forward-Looking Statements

This press release contains forward-looking statements (as that term is defined in the Private Securities Litigation Reform Act of 1995) about the benefits of Lilly's acquisition of Ajax Therapeutics and Ajax's product candidate for oncology, and reflects Lilly's current beliefs and expectations. However, as with any such undertaking, there are substantial risks and uncertainties in closing and implementing the acquisition and in the process of drug research, development, and commercialization. Among other things, there can be no guarantee that Lilly will close the transaction or realize the expected benefits of the acquisition, that the acquisition will achieve the results discussed in this release, or that the acquisition will yield commercially successful products. For further discussion of these and other risks and uncertainties that could cause actual results to differ from Lilly's expectations, see Lilly's Form 10-K and Form 10-Q filings with the United States Securities and Exchange Commission. Except as required by law, Lilly undertakes no duty to update forward-looking statements to reflect events after the date of this release.

Refer to:	Ashley Hennessey; gentry_ashley_jo@lilly.com; 317-416-4363 (Media)
	Michael Czapar; czapar_michael_c@lilly.com; 317-617-0983 (Investors)
	Kathryn Morris; kathryn@theyatesnetwork.com; 914-204-6412 (Ajax Media)

 

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SOURCE Eli Lilly and Company

FAQ

What are the terms of Lilly's acquisition of Ajax Therapeutics (LLY) announced April 27, 2026?

Lilly will acquire Ajax with Ajax shareholders eligible for up to $2.3 billion in cash. According to the company, the amount includes an upfront payment plus clinical and regulatory milestone payments tied to AJ1-11095 development and approvals.

What is AJ1-11095 and why is it important for Lilly (LLY)?

AJ1-11095 is a once-daily oral Type II JAK2 inhibitor in Phase 1 development. According to the company, it aims to provide deeper, more durable control for myelofibrosis and polycythemia vera versus approved Type I JAK2 inhibitors.

When will clinical proof-of-concept data for AJ1-11095 be available after the LLY acquisition?

Proof-of-concept data are expected later in 2026. According to the company, the Phase 1 trial began in late 2024 and dose selection for future development is planned during 2026 ahead of registrational trials.

How might the Ajax acquisition affect Lilly's (LLY) oncology strategy?

The acquisition adds a novel JAK2 mechanism to Lilly Oncology's portfolio. According to the company, Lilly intends to rapidly advance AJ1-11095 into registrational studies using its blood-cancer development capabilities and infrastructure.

Are there regulatory or closing conditions for Lilly's (LLY) purchase of Ajax Therapeutics?

Yes. The transaction is subject to customary closing conditions, including Hart-Scott-Rodino antitrust clearance. According to the company, closing depends on satisfying these conditions and other customary approvals.

What is the financial exposure to Lilly shareholders from the Ajax deal (LLY)?

The deal carries up to $2.3 billion in cash payments contingent on milestones. According to the company, Lilly will determine accounting treatment after closing and reflect the transaction in GAAP financial results and guidance.