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July 16 (Reuters) - AtaiBeckley shares soared 50% premarket on Thursday after a report that Eli Lilly was in talks ‌to acquire the psychedelic drug developer as soon as this ‌week.

Bloomberg News, late on Wednesday, said Lilly was negotiating a deal at a premium, ​citing people familiar with the matter.

New York-based AtaiBeckley's shares have gained 31% so far this year to give it a market value of $1.97 billion as of Wednesday's close, according to LSEG data.

U.S. President Donald ‌Trump's executive order in ⁠April to help speed up access to treatment based on psychedelic drugs had sparked an industrywide rally.

"While the ⁠deal could reach more than $2 billion, ongoing talks with additional pharmaceutical companies could support a higher takeout price," said BMO Capital Markets analyst ​Evan Seigerman.

Lilly ​shares were flat before the bell.

Eli ​Lilly and AtaiBeckley were not ‌immediately available for comment outside regular business hours.

Shares of other psychedelic drug developers also rose premarket on Thursday. Compass Pathways gained 7%, GH Research jumped 15%, Definium Therapeutics climbed 6% and Enveric Biosciences rose 3%.

AtaiBeckley focuses on psychedelic-based treatments for mental health conditions and ‌is developing BPL-003, an intranasal formulation of ​5-MeO-DMT for treatment-resistant depression.

Trump's order is ​expected to shorten administrative timelines ​while attracting more capital to the industry, analysts ‌and health experts have said.

RBC Capital ​Markets analyst Brian ​Abrahams said the psychedelic sector is likely to continue its rally and is poised to emerge into the mainstream.

Lilly has been ​on an acquisition ‌spree, especially in the neuroscience space, highlighted by the $7.8 billion ​buyout of sleep-disorder drugmaker Centessa Pharmaceuticals.

(Reporting by Christy Santhosh ​in Bengaluru; Editing by Sriraj Kalluvila)