Eli Lilly (LLY.US) confirms acquisition of Ventyx Biosciences (VTYX.US) for $14 per share.

Eli Lilly (LLY.US) has confirmed its agreement to acquire Ventyx Biosciences (VTYX.US) for $14 per share in cash. According to a statement released on Wednesday, the total equity value of the transaction is approximately $1.2 billion. The deal does not have any financing conditions attached and is expected to be completed in the first half of this year. Bank of America Securities is serving as the exclusive financial advisor to Eli Lilly, while Jefferies Financial Group Inc. is acting as the chief financial advisor to Ventyx. Based in San Diego, Ventyx specializes in developing drugs for inflammatory diseases like Crohn's disease and rheumatoid arthritis. Eli Lilly's acquisition of the company aims to expand its presence in the field of immunology. Eli Lilly stated that immunology is a key area of growth for the company, and they hope to further expand their business after achieving significant success in the treatment of diabetes and obesity. These successes have attracted the attention of investors and patients. The company currently sells a variety of drugs for treating inflammatory diseases such as arthritis and psoriasis, including Taltz, but the key patent protection for Taltz will expire in the coming years. Meanwhile, the company is seeking acquisitions to expand its product line. In 2024, they acquired Morphic Therapeutics for $3.2 billion, gaining an experimental drug for treating inflammatory bowel disease. Additionally, they also spent $2.4 billion to acquire Dice Therapeutics, a company developing oral therapies for psoriasis.