Eli Lilly to Buy Prevail for $1 Billion in Parkinson’s Push

  • Drugmaker pays a more than 80% premium for gene therapies
  • Lilly gives 2021 guidance, expects up to $28 billion in sales
Photographer: Michael Nagle/Bloomberg
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Eli Lilly & Co. said it will buy Prevail Therapeutics Inc. for about $1 billion to gain gene therapies that treat neurodegenerative disease such as Parkinson’s and certain forms of dementia.

At closing, Lilly will pay $22.50 per share in cash, which is more than 80% above the biotech company’s closing price on Monday. Additionally, Lilly is including one non-tradeable contingent value right worth as much as $4 per share, to be paid upon the first regulatory approval of a Prevail product. That could bring the total price tag to as much as $26.50 per share.