Lilly to acquire Adverum, picking up eye disease gene therapy

Eli Lilly will acquire California-based Adverum Biotechnologies, including its lead gene therapy candidate, ixo-vec.

Ixo-vec is a phase 3 gene therapy designed to treat vision loss associated with wet age-related macular degeneration with a single intravitreal dose.

Per the deal, Lilly will acquire all outstanding shares of Adverum common stock for a per share price of $3.56 per share in cash payable at closing plus, one non-transferrable contingent value right (CVR) that entitles the holder to receive up to an additional $8.91 per CVR in cash upon the achievement of two milestones, for total potential per share consideration of up to $12.47 — a deal that Reuters values at around $261.7 million.

Ixo-vec is being evaluated in the ARTEMIS phase 3 clinical trial, which has completed screening. The program has been granted fast track and RMAT designations by the U.S. FDA, as well as PRIME designation by the EMA and the innovation passport from the UK’s Medicines and MHRA for the treatment of wAMD.