Lilly-Amylin Diabetes Drug Wins FDA Approval

But Amylin shares slide after the Byetta injection is OK'd.
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Eli Lilly

(LLY) - Get Report

and partner

Amylin Pharmaceuticals


announced approval of a new diabetes drug that the companies say will be in pharmacies by June.

The Food and Drug Administration approved the Byetta injection as an adjunctive therapy for type 2 diabetes for patients who have not been able to control blood sugar levels using common oral diabetes drugs. The FDA says the drug is also approvable as a stand-alone therapy.

Byetta, chemically known as exenatide, is the first drug approved from the class of incretin mimetics drugs, which work by stimulating insulin secretion, lowering blood-sugar levels after meals and while fasting. The drug restores the insulin secretion response in the pancreas, which is lost in patients with type 2 diabetes.

"Often, current treatments do not provide adequate blood-sugar control leaving patients and caregivers frustrated," says Ginger Graham, Amylin Pharmaceuticals' CEO. "Byetta, a first-in-class medicine, is a new therapy for those who are not able to effectively control their blood sugar with their current oral medications."

Eli Lilly shares were recently down 9 cents, or 0.2%, to $57.91. Amylin shares sank $1.77, or 9.7%, to $16.41.