Novartis strengthens neuroscience pipeline with $12bn Avidity acquisition

Novartis is set to gain access to a new class of investigational therapies enabling RNA delivery to muscle under a new $12 billion acquisition of Avidity Biosciences.

The deal supports development of these treatments through Avidity’s antibody oligonucleotide conjugate (AOC)-based RNA-targeting delivery platform.

According to Avidity’s Chief Scientific/Technical Officer Dr Michael Flanagan, AOCs “combine the proven technology of monoclonal antibodies (mAbs) with the precision of oligonucleotide therapies.

“Based on learnings from ASOs and siRNAs they also leverage unique engineering and drug delivery techniques that enable them to target a broader set of cell types, including many that have been previously untreatable with RNA therapeutics.”

The transaction involves Avidity’s late-stage neuroscience programmes for myotonic dystrophy type 1 (DM1), facioscapulohumeral muscular dystrophy (FSHD) and Duchenne muscular dystrophy (DMD).

Addressing unmet need in genetic neuromuscular diseases

Vas Narasimhan, CEO of Novartis: “Avidity’s pioneering AOC platform for RNA therapeutics ​and its late-stage assets bolster our commitment to delivering innovative, targeted and potentially first-in-class medicines to treat devastating, progressive neuromuscular diseases.”

Customary closing conditions of the acquisition include a spin-off or a sale of SpinCo, a subsidiary of Avidity, the early-stage precision cardiology programmes and collaborations of Avidity. This agreement involves a merger with a newly formed indirect wholly owned subsidiary, which is expected to close in H1 of 2026.

In December 2022, Avidity announced that its monoclonal antibody (mAb) AOC 1001 successfully delivered siRNA into muscle for the first time. Phase I/II trial data showed that the candidate produced meaningful DM1 Protein Kinase (DMPK) reduction in all patients with DM1.

Art Levin, PhD, Chief Scientific Officer at Avidity shared at the time that the data widens “the possibilities of how we can treat diseases and target a range of different cells and tissues beyond the liver, which up until now have been inaccessible with existing RNA-based therapeutics.”