Eli Lilly to Acquire Adverum Biotechnologies to Advance Gene Therapy for Wet AMD

The acquisition includes Adverum’s lead product candidate, Ixo-vec, a Phase 3 gene therapy for wet age-related macular degeneration (wAMD).

Eli Lilly and Company has signed a definitive agreement to acquire Adverum Biotechnologies, Inc. (Nasdaq: ADVM), a clinical-stage company developing intravitreal gene therapies for ocular diseases.

The acquisition includes Adverum’s lead product candidate, Ixo-vec, a Phase 3 gene therapy for wet age-related macular degeneration (wAMD).

Ixo-vec is designed as a single intravitreal dose to deliver continuous and stable intraocular aflibercept levels, reducing the burden of repeated anti-VEGF injections. The therapy is currently under evaluation in the ARTEMIS Phase 3 clinical trial, which has completed screening. The program has received Fast Track and Regenerative Medicine Advanced Therapy (RMAT) designations from the U.S. FDA, PRIME designation from the European Medicines Agency, and an Innovation Passport from the UK Medicines and Healthcare Products Regulatory Agency.

Andrew Adams, Lilly group vice president of Molecule Discovery, said, “Ixo-vec has the potential to transform wAMD treatment from a paradigm of chronic care with repeated intravitreal injections to a convenient one-time therapy. We are eager to welcome Adverum colleagues to Lilly and to help accelerate this innovative medicine to patients.”

Laurent Fischer, M.D., president and CEO of Adverum Biotechnologies, added, “We are excited about the potential to join Lilly, with a proven track record in the discovery, development, and commercialization of innovative medicines for chronic and age-related conditions. Their scientific depth and global reach offer the opportunity to accelerate our vision to deliver a transformative One and Done™ therapy that can potentially restore and preserve vision for millions of patients living with wAMD. My deepest appreciation goes out to the entire Adverum team for their expertise, creativity, and commitment. We are also grateful to the investigators, patients, and caregivers who have contributed to the success of Ixo-vec thus far.”

Under the merger terms, Lilly will initiate a tender offer to acquire all outstanding Adverum shares at $3.56 per share, plus one non-transferable contingent value right (CVR) potentially worth up to $8.91 per CVR based on two milestones: U.S. approval of Ixo-vec and first achievement of annual worldwide net sales exceeding $1 billion. The transaction is expected to close in Q4 2025, subject to customary closing conditions.

Additionally, Adverum entered a secured Promissory Note with Lilly, allowing up to $65 million in pre-closing funding to support ongoing Ixo-vec clinical trials. The note becomes due if the transaction is terminated or the minimum tender conditions are not met.

The acquisition was unanimously approved by Adverum’s board of directors after evaluating strategic alternatives and financing options, with legal and financial advisors engaged on both sides.

Stay tuned for more such updates on Digital Health News