Faced with expiring patents on key meds, the drugmaker is investing hundreds of millions of dollars into its diabetes business, its oldest franchise, The Indianapolis Star writes. In the past 18 months, Lilly has launched five new injection pens, including one with computerized memory, to try to boost insulin sales. And more than $30 million in grants was awarded to hospitals and foundations for diabetes research and programs. And a marketing outreach program now targets people at high risk for the disease.

Meanwhile, Lilly is replenishing its diabetes pipeline with a batch of licensing deals. Last fall, the drugmaker bought the rights to a molecule being tested by a biotech for treatment of Type 1 diabetes. Last week, Lilly bought the rights to develop the therapies being developed by another biotech specializing in diabetes research. And Lilly is pushing ahead with testing of its own compounds for treatment of Type 2 diabetes, the paper continues.

“There’s a resurgence of interest in diabetes going on,” David Moller, Lilly’s vp endocrine and cardiovascular research and clinical investigation, tells the Star. “I would hate to promise that a cure is right around the corner, but that is the long-term goal we have.”

The resurgence follows a sharp downturn in Lilly’s commitment to diabetes, the Star reminds us. Six years ago, facing a cash crunch when Prozac lost patent protection, Lilly dramatically cut back its insulin sales force and saw its US market share drop from 82 percent in 2000 to 43 percent in 2005. The drugmaker used that money to help launch about eight other products. There is some irony here, because one of its best-selling drugs during this stretch was the controversial Zyprexa antipsychotic, which is linked to weight gain and…diabetes. You can read about that here.

Here’s the complete story.