Global pharma powerhouse Eli Lilly has struck a definitive agreement to acquire clinical-stage biotech Kelonia Therapeutics, marking a major push into next-generation gene therapy aimed at transforming cancer treatment.
Kelonia is developing a proprietary in vivo gene placement system (iGPS) that uses engineered lentiviral-based particles designed to selectively enter T-cells inside the body. The approach enables the patient’s own system to generate chimeric antigen receptor T-cell (CAR-T) therapies internally—potentially eliminating the need for complex external cell manufacturing.
Its lead candidate, KLN-1010, is a one-time intravenous gene therapy designed to generate anti-BCMA CAR-T cells that target multiple myeloma. Early clinical data, presented at the 2025 American Society of Hematology Annual Meeting, showed promising tolerability and provided early validation of the approach.
The therapy could significantly simplify CAR-T treatment by removing ex vivo manufacturing steps and pre-administration chemotherapy requirements.
"Autologous CAR-T therapies have meaningfully improved outcomes for patients with various cancers, but significant manufacturing, safety, and access barriers mean that only a fraction of eligible patients actually receive them. Kelonia's in vivo platform has the potential to change that by delivering rapid, durable responses in a far simpler, off-the-shelf format," said Jacob Van Naarden, executive vice president and president of Lilly Oncology and head of corporate business development.
"The early clinical data for KLN-1010 are highly encouraging, both as a potential step forward for patients with multiple myeloma and as proof of concept for Kelonia's platform. We look forward to working together with the Kelonia team to rapidly advance KLN-1010 to address patient need and recognize the full potential of their platform in other conditions where patients may benefit."
Kelonia leadership described the deal as a milestone for in vivo cell therapy.
"Kelonia's leadership in advancing the immense promise of in vivo cell therapy is unmatched, extending its reach and impact beyond the traditional boundaries of personalized medicine," said Kevin Friedman, chief executive officer of Kelonia.
"We have demonstrated the ability to achieve deep multiple myeloma remissions with significantly reduced complexity and cost relative to ex vivo CAR T-cell approaches. In combination with Lilly's strengths, our in vivo iGPS platform is positioned to broaden the reach of cell therapy beyond the current CAR-T landscape in hematologic malignancies and to transform treatment across a far wider range of cancers and other serious diseases."
Under the agreement, Lilly will acquire Kelonia in a deal valued at up to $7.0 billion. The structure includes a $3.25 billion upfront payment, with additional payments tied to clinical, regulatory, and commercial milestones.
