By Colin Kellaher


Eli Lilly & Co. on Tuesday said it agreed to buy precision genetic-medicine company Akouos Inc. for up to $610 million in a deal aimed at accelerating the discovery of gene therapies to treat hearing loss.

Indianapolis drugmaker Eli Lilly said it would pay an initial $487 million, or $12.50 a share, in cash, a 78% premium to Monday's closing price for the Boston company.

Eli Lilly said the deal also carries a contingent value right tied to several Akouos milestones valued at up to $3 a share, for total consideration of up to $15.50 a share.

Eli Lilly said it expects to complete the acquisition, which isn't subject to any financing condition, by the end of the year.

Shares of Akouos jumped more than 83% to $12.86 in premarket trading Tuesday.


Write to Colin Kellaher at colin.kellaher@wsj.com


(END) Dow Jones Newswires

10-18-22 0718ET