Transaction builds on Novartis’ neuroscience portfolio with three late-stage genetic neuromuscular disease programs and a breakthrough RNA delivery platform.
Basel, October 2025 — Novartis today announced an agreement to acquire Avidity Biosciences, Inc. (Nasdaq: RNA), a leading San Diego–based biotechnology company pioneering RNA therapeutics through its Antibody Oligonucleotide Conjugates (AOCs™) platform. This acquisition strengthens Novartis’ neuroscience franchise and advances its xRNA strategy, expanding access to next-generation RNA-based therapies for genetic neuromuscular diseases.
Under the terms of the deal, Novartis will acquire all outstanding shares of Avidity for USD 72.00 per share in cash, valuing the company at approximately USD 12 billion on a fully diluted basis and representing a 46% premium to Avidity’s closing share price on October 24, 2025. The transaction, unanimously approved by both companies’ Boards of Directors, is expected to close in the first half of 2026, subject to customary regulatory approvals and the completion of Avidity’s planned separation of its early-stage precision cardiology programs into a new entity (“SpinCo”).
Strengthening Novartis’ Neuroscience Pipeline with Transformative RNA Science
The acquisition marks a strategic expansion of Novartis’ presence in neuromuscular and genetic neuroscience, adding three late-stage, first-in-class programs targeting rare diseases with high unmet medical needs — including myotonic dystrophy type 1 (DM1), facioscapulohumeral muscular dystrophy (FSHD), and Duchenne muscular dystrophy (DMD).
These investigational therapies leverage Avidity’s AOC™ technology, which combines the tissue specificity of monoclonal antibodies with the precision of oligonucleotides, enabling targeted RNA delivery to muscle tissue — a previously challenging therapeutic frontier. This approach aims to correct underlying genetic defects, restore muscle function, and potentially alter disease progression for patients living with debilitating neuromuscular conditions.
“Avidity’s pioneering AOC™ platform and its late-stage neuromuscular programs significantly enhance our commitment to delivering transformative, targeted therapies for patients with devastating genetic diseases,” said Vas Narasimhan, CEO of Novartis. “Their groundbreaking work in RNA delivery represents an important step forward in realizing the full potential of RNA therapeutics. Together, we can accelerate progress toward meaningful, life-changing treatments.”
Driving Growth and Innovation in RNA Therapeutics
The acquisition is expected to raise Novartis’ 2024–2029 sales CAGR from +5% to +6%, unlocking multi-billion-dollar growth opportunities with potential product launches before 2030. It also deepens Novartis’ expertise in RNA medicine and complements its existing leadership in spinal muscular atrophy (SMA) and other genetic neuromuscular conditions.
By integrating Avidity’s AOC™ platform, Novartis gains a scientifically validated, muscle-targeted delivery system capable of addressing diseases previously untreatable through conventional RNA modalities. The acquisition aligns with Novartis’ long-term strategy to invest in high-value, precision-based therapies that can redefine the future of neuroscience and rare disease treatment.
Transaction Structure and Spin-Off of Early-Stage Cardiology Programs
Before the acquisition closes, Avidity will transfer its early-stage precision cardiology programs and collaborations to a new, independent entity (“SpinCo”). Avidity shareholders will receive one share of SpinCo for every ten shares of Avidity held, and may also receive a pro rata cash distribution if certain SpinCo assets or the entity itself are sold before the transaction closes.
Following completion of the merger, Avidity’s late-stage programs and proprietary RNA delivery platform will become part of Novartis, while SpinCo will continue to advance its cardiology pipeline as a separate entity.
Avidity’s Mission to Transform RNA Therapeutics
Founded with a mission to overcome the barriers of RNA drug delivery, Avidity Biosciences has emerged as a frontrunner in developing RNA-based medicines for rare and serious diseases. Its AOC™ platform is the first to successfully enable targeted RNA delivery to muscle tissue via TfR1 monoclonal antibody conjugation, offering the potential to modulate genetic causes of disease directly. The company’s ongoing clinical programs — HARBOR™, FORTITUDE™, and EXPLORE44 — are exploring therapies for DM1, FSHD, and DMD, respectively.
A Strategic Milestone for Novartis’ Vision
The proposed acquisition underscores Novartis’ vision to reimagine medicine through innovation in genetic and RNA science. By combining Novartis’ global clinical and commercialization expertise with Avidity’s advanced platform technology, the partnership is poised to accelerate the availability of precision therapies for patients worldwide.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These statements are based on current expectations and subject to risks and uncertainties that could cause actual results to differ materially. Readers are encouraged to review the companies’ filings with the U.S. Securities and Exchange Commission (SEC) for further information.
Investor and Media Information
Investor Call:
Novartis will host a conference call for investors on October 27, 2025, at 1:00 pm CET to discuss the transaction. Details are available at novartis.com/investors/event-calendar.
Media Contacts:
Novartis Media Relations
E-mail: media.relations@novartis.com
Investor Relations:
Central investor relations line: +41 61 324 7944
E-mail: investor.relations@novartis.com
About Novartis
Novartis is an innovative medicines company reimagining medicine to improve and extend people’s lives. Its therapies reach more than 300 million people globally. Learn more at www.novartis.com and follow Novartis on LinkedIn, Facebook, X/Twitter, and Instagram.
About Avidity Biosciences
Avidity Biosciences, Inc. (Nasdaq: RNA) is a biopharmaceutical company pioneering Antibody Oligonucleotide Conjugates (AOCs™) for serious diseases, with an initial focus on rare neuromuscular disorders such as DM1, FSHD, and DMD. Its platform integrates patient insights with cutting-edge RNA science to advance transformative therapies. Visit aviditybiosciences.com for more information.
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