Eli Lilly Expands Into Sleep Medicine With Centessa Buyout

Centessa Pharmaceuticals Plc (NASDAQ:CNTA) shares climbed in Tuesday’s premarket session after Eli Lilly and Co. (NYSE:LLY) entered into a definitive agreement to acquire the company.

Acquisition Expands Eli Lilly’s Neuroscience Portfolio 

The acquisition aims to enhance Lilly’s neuroscience portfolio, particularly in sleep medicine, as it seeks to advance treatments for sleep-wake disorders, which has contributed to the stock’s surge.

The acquisition deal involves an upfront cash consideration of approximately $6.3 billion, with an additional potential aggregate equity value of around $1.5 billion tied to contingent value rights (CVR).

The transaction is expected to close in the third quarter, pending approval from Centessa shareholders and regulatory bodies.

In this agreement, Lilly is set to incorporate Centessa’s pipeline of orexin receptor 2 (OX2R) agonists, which includes the lead candidate cleminorexton, known for its promising results in Phase 2a clinical studies for various sleep disorders.

The strategic move is seen as a significant expansion of Lilly’s capabilities in treating excessive daytime sleepiness and related conditions.

In December 2025, Centessa Pharmaceuticals appointed Mario Alberto Accardi, President and founder of Centessa’s Orexin Program, as CEO, effective January 1, 2026.

Accardi succeeded Saurabh Saha.

Lilly Continues Deal-Making Streak In Biotech

In March, Eli Lilly finalized a $2.75 billion agreement to introduce AI-developed drugs from Hong Kong’s Insilico Medicine to the global market.

The collaboration between the two firms began with an AI-based software licensing deal in 2023

In February, Eli Lilly agreed to acquire Orna Therapeutics for up to $2.4 billion. Eli Lilly previously expressed interest in the French biotech, Abivax SA (NASDAQ:ABVX).

In January, Eli Lilly agreed to acquire Ventyx Biosciences, Inc. for $14.00 per share, equal to an aggregate equity value of approximately $1.2 billion.

CNTA Price Action: Centessa Pharmaceuticals shares were up 45.16% at $40.03 at the time of publication on Tuesday. The stock is trading at a new 52-week high, according to Benzinga Pro data.

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