11:56 AM EDT, 10/09/2025 (MT Newswires) -- Novo Nordisk ( NVO ) agreed to acquire Akero Therapeutics ( AKRO ) for up to $5.2 billion as the Danish drugmaker seeks to expand its portfolio of metabolic treatments that are driven by glucagon-like peptide-1 medications.

Akero's lead product candidate, efruxifermin, is in late-stage development to treat patients with moderate to advanced liver scarring.

Shareholders of Akero will receive $54 per share in cash and a contingent value right entitling its holder to receive an additional $6 per share if efruxifermin receives full regulatory approval in the US by June 30, 2031, the American company said in a statement.

The upfront cash portion represents a 42% premium to Akero's closing price on May 19, before speculation about a potential transaction surfaced, the company said.

Novo separately described efruxifermin as "a potentially best-in-class treatment" for metabolic dysfunction-associated steatohepatitis, or MASH. Stanford Health Care defines MASH as liver inflammation and damage caused by a buildup of fat in the liver.

"Efruxifermin complements Novo Nordisk's ( NVO ) leading portfolio and is aligned with our commitment to building a competitive portfolio of treatment options across the stages of MASH," Novo Chief Scientific Officer Martin Lange said in a statement.

The move is part of Novo's long-term strategy to treat people living with diabetes, obesity and their associated comorbidities, it said. "MASH is closely linked with Novo Nordisk's ( NVO ) expertise in diabetes and obesity," according to the Wegovy obesity drug maker.

Shares of Akero were up 16% in Thursday trade, while the New York Stock Exchange-listed shares of the Danish drugmaker edged down 1.3%.

The companies expect the deal, which requires regulatory and Akero's shareholder approvals, to close around the end of the year.

"We look forward to joining the Novo Nordisk ( NVO ) family and accelerating the momentum of EFX to deliver a transformational impact on patients' lives," Akero Chief Executive Andrew Cheng said.

The transaction doesn't impact Novo's operating profit outlook for 2025, but its projected free cash flow is expected to be negatively impacted by about $4 billion, the company said.

The acquisition will likely increase Novo's research and development costs in 2026, with an estimated hit to full-year operating profit growth of about 3 percentage points, depending on the timing of closing, the company said.

Price: 54.24, Change: +7.75, Percent Change: +16.66