Eli Lilly said Tuesday that it would buy Centessa Pharmaceuticals, the maker of an experimental drug meant to combat sleeping conditions, for roughly $6.3 billion in cash.
The purchase values Centessa at $38 per share, a 38% premium over the company’s closing price on Monday and a 40.5% premium over its average share price over the last 30 days. The agreement also includes additional payments if Centessa’s drugs win regulatory approval in the U.S., meaning the total purchase price could be up to $47 per share, adding another $1.5 billion to the deal.
Centessa, which has headquarters in the U.K. and in Boston, was publicly launched in 2021 and started with more than a dozen programs across a range of diseases. But over the years it has focused on disorders that leave people struggling to stay awake.
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