Healthcare stocks were lower Monday afternoon, with the NYSE Healthcare Index decreasing 0.5% and the State Street Health Care Select Sector SPDR ETF (XLV) down 0.4%.

The iShares Biotechnology ETF (IBB) shed 0.3%.

In corporate news, Eli Lilly (LLY) has agreed to buy Merida Biosciences for up to $2.875 billion in cash, as it seeks to expand its portfolio of autoimmune and allergic disease therapies, the companies said Monday. Lilly shares were down 1.6%.

Alvotech (ALVO) shares rose past 4% after it said Monday a biologics license application for AVT80 as a proposed interchangeable biosimilar to Entyvio has been accepted for review by the US Food and Drug Administration.

Axsome Therapeutics (AXSM) shares added 0.3% after it said Monday that it has dosed the first patient in its phase 3 trial evaluating AXS-05, its experimental drug intended for smoking cessation.