Eli Lilly to Acquire Verve Therapeutics for $13 Billion, Expanding Cardiovascular Portfolio

Eli Lilly and Company (LLY.US) has announced its intention to acquire Verve Therapeutics (VERV.US), a Boston-based gene-editing company, for a maximum of $13 billion. The acquisition is part of Lilly's strategy to expand its portfolio in the cardiovascular disease treatment sector. Lilly has initiated a tender offer to acquire Verve at $10.50 per share in cash, amounting to approximately $10 billion. Additionally, each share will come with contingent value rights, which could potentially add up to $3 per share, bringing the total potential value to $13.50 per share. The acquisition is subject to customary closing conditions and regulatory approvals.

Verve Therapeutics is currently advancing a series of single-dose in vivo gene-editing programs aimed at safely inactivating genes in the liver that contribute to the risk of atherosclerotic cardiovascular disease. One of their lead candidates, VERVE-102, is an in vivo base editing therapy currently in Phase 1b clinical trials for patients with heterozygous familial hypercholesterolemia and early-onset coronary artery disease. This candidate has received the "Fast Track" designation from the U.S. Food and Drug Administration.

Ruth Gimeno, Vice President of Diabetes and Metabolism Research and Development at Lilly, commented, "VERVE-102 has the potential to be the first in vivo gene-editing therapy for a broad patient population, fundamentally changing the treatment paradigm for cardiovascular disease from long-term chronic treatment to a one-time curative approach."

This acquisition aligns with Lilly's broader strategy to invest in innovative technologies and therapies that address unmet medical needs. Verve Therapeutics is known for its pioneering work in gene editing, particularly in the development of treatments for cardiovascular diseases. This acquisition will not only enhance Lilly's capabilities in gene editing but also strengthen its position in the cardiovascular disease market.

The deal underscores Lilly's commitment to advancing medical science through strategic investments. By acquiring Verve Therapeutics, Lilly aims to leverage the company's expertise in gene editing to develop new therapies that could significantly improve patient outcomes. The acquisition is expected to accelerate Lilly's research and development efforts in the cardiovascular disease area, potentially leading to the introduction of groundbreaking treatments in the near future.

This acquisition is a significant move for Lilly, as it continues to diversify its portfolio and invest in cutting-edge technologies. The deal is expected to close in the second half of 2024, subject to the satisfaction of customary closing conditions and regulatory approvals. This acquisition represents a major step forward for Lilly in its mission to deliver innovative therapies that improve the lives of patients worldwide.