Centessa Repays Oxford Finance as Lilly Deal Closes 2026

Key Points

• Centessa Pharmaceuticals repaid in full and terminated its Loan and Security Agreement with Oxford Finance and other lenders on June 24, 2026.
• The repayment and termination followed the closing of Eli Lilly’s acquisition of Centessa.
• The acquisition was announced earlier in 2026 and structured with an initial cash payment plus potential contingent payments.
• Centessa confirmed the repayment and termination in a Form 8-K filing with the US Securities and Exchange Commission.
• The transaction has been covered by several financial news outlets and company announcements.

Oxford (Oxford Daily) June 24, 2026 – Centessa Pharmaceuticals plc repaid in full all indebtedness, liabilities and other obligations under its Loan and Security Agreement dated 30 December 2024 with Oxford Finance LLC and other lenders, and terminated that agreement following the closing of Eli Lilly’s acquisition of the company on 24 June 2026.

Why did Centessa repay and terminate its Oxford Finance loan after Lilly’s acquisition?

As reported in Centessa’s SEC Form 8-K, the company stated that, in connection with the acquisition by Eli Lilly and Company, it repaid in full all amounts outstanding under the Loan and Security Agreement and ended the financing arrangement on 24 June 2026.

Why was the loan repayment tied to the closing of the Lilly acquisition?

The repayment and termination took place as part of the closing process for the acquisition, which meant Centessa had to clear its existing secured borrowing arrangement once the transaction was completed. This removed the lender’s claim over the company’s financing structure and aligned the balance sheet with the new ownership structure.

Why did Eli Lilly acquire Centessa?

Eli Lilly said the acquisition was intended to advance treatments in neuroscience and sleep disorders by adding Centessa’s clinical-stage programmes to its pipeline. The deal was presented as a strategic move to broaden Lilly’s research and development base beyond its existing therapeutic focus.

Why did the acquisition draw market attention?

The deal was widely reported because of its size, the premium paid to Centessa shareholders, and the potential milestone-based payments linked to future development outcomes. Investors and analysts viewed the acquisition as a notable expansion of Lilly’s pipeline strategy.

Why does the loan termination matter to lenders?

Once the loan was repaid in full, the existing security and lender protections under the agreement ended. That closed Oxford Finance’s secured exposure to Centessa and removed the debt arrangement from the company’s corporate structure.

Why does this matter to shareholders and staff?

Shareholders were affected because the acquisition changed ownership and delivered the agreed transaction consideration. Employees and research programmes are expected to move under Lilly’s control, which may affect future funding, development priorities and integration plans.

Context of the Loan Termination

Centessa’s loan agreement had been part of its financing structure while it developed clinical programmes. When Lilly completed the acquisition, the debt no longer remained in place as an independent obligation and was settled as part of the transaction.

The SEC filing served as the formal public disclosure of a material corporate event. It confirmed that the indebtedness had been fully repaid and the loan agreement terminated.

Who Reported What

Centessa disclosed the repayment and termination in its SEC filing. Eli Lilly announced the acquisition as a strategic move to strengthen its neuroscience and sleep-disorder pipeline. Financial coverage highlighted the valuation, the acquisition terms and the broader market reaction.

Background of the Development

Centessa is a clinical-stage biopharmaceutical company that had been funding research and development through a mix of capital market activity and borrowing arrangements. Earlier in 2026, Eli Lilly announced a definitive agreement to acquire Centessa, which set the transaction process in motion.

The acquisition moved through the customary approval and closing steps before completion on 24 June 2026. Once the deal closed, Centessa’s loan facility was repaid and terminated as part of the ownership change.

Prediction: How This Affects Stakeholders

For Centessa shareholders, the immediate impact is the receipt of the transaction consideration and possible future contingent payments if development milestones are achieved. For Oxford Finance and the other lenders, the repayment ends their secured lending exposure to Centessa.

For Eli Lilly, the acquisition may help expand its pipeline and strengthen its position in neuroscience and sleep-disorder research. For patients and researchers, the change could support faster development if Lilly allocates more resources to Centessa’s programmes.