Eli Lilly and Company has announced a strategic partnership with South Korea–based Rznomics to develop RNA-based gene therapies aimed at treating sensorineural hearing loss. The collaboration involves milestone payments that could exceed $1.3 billion. Under the agreement, Rznomics will spearhead early-stage research, while Lilly will manage clinical development and commercialization. The approach uses RNA editing, a reversible and potentially safer alternative to CRISPR gene editing.
This partnership builds on Lilly’s growing genetic hearing loss portfolio, which includes AK-OTOF — an AAV gene therapy currently in Phase I/II trials targeting mutations in the OTOF gene. In recent trials, the therapy showed promising results, including restored hearing in a patient within just 30 days of treatment.
Lilly’s move aligns with a broader industry trend toward developing genetic therapies for hearing loss. For example, Regeneron’s DB-OTO therapy has demonstrated measurable hearing improvements in 10 out of 11 pediatric patients treated. The sector’s momentum highlights the increasing confidence in genetic approaches to previously untreatable conditions.
In addition to the Rznomics collaboration, Lilly also entered a $1.4 billion agreement with Sangamo Therapeutics in April 2025 to develop gene therapies targeting central nervous system (CNS) disorders, further strengthening its position in the gene therapy space.
Rznomics, which recently secured $58 million in funding, views the Lilly deal as a pivotal step toward expanding its global biotech footprint. CEO Seong-Wook Lee underscored the transformative potential of precision RNA therapeutics in addressing diseases that currently lack effective treatments.
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