Lilly to Acquire Adverum Biotechnologies and its Lead Gene Therapy Program Ixo-vec

Eli Lilly and Company is set to acquire Adverum Biotechnologies, including its lead product candidate Ixo-vec, a Phase 3 gene therapy designed to treat vision loss associated with wet age-related macular degeneration. Ixo-vec aims to offer a one-time treatment for the condition. The acquisition aligns with Lilly's genetic medicine capabilities and its goal to expand gene therapy's potential in addressing age-related diseases. Adverum's pipeline focuses on single-administration gene therapies for preserving sight and preventing blindness, with Ixo-vec at the forefront for the treatment of wet age-related macular degeneration.

The transaction is subject to closing conditions and is expected to conclude in the fourth quarter of 2025. Under the terms of the merger agreement, Lilly will commence a tender offer to acquire all outstanding shares of Adverum common stock. In conjunction with the transaction, Adverum has entered into a Promissory Note with Lilly, enabling Adverum to receive a loan of up to $65 million from Lilly to support ongoing Ixo-vec clinical trials and development activities.

The merger agreement was unanimously approved by Adverum's board of directors following a comprehensive evaluation of strategic alternatives. Ropes & Gray LLP is acting as legal counsel for Lilly, while Aquilo Partners, L.P. is acting as exclusive financial advisor and Cooley LLP as legal counsel for Adverum. The acquisition showcases Lilly's commitment to advancing genetic medicines and underscores its focus on addressing significant health challenges through innovative scientific advancements.