Novartis has entered into a definitive merger agreement with antibody oligonucleotide conjugates (AOCs) developer Avidity Biosciences.  

The acquisition will follow the separation of Avidity’s early-stage precision cardiology programmes into SpinCo, which is expected to be a publicly traded company.  

SpinCo will be led by Kathleen Gallagher, currently Avidity’s Chief Program Officer, as Chief Executive Officer. Sarah Boyce, currently Avidity’s Chief Executive Officer, will serve as Chair of the Board. 

“We are confident that this transaction with Novartis maximises value for our investors and will support the global expansion of our neuroscience pipeline,” said Sarah Boyce, President and Chief Executive officer of Avidity. 

Novartis will acquire Avidity’s programmes and pipeline in neuroscience and gain access to its differentiated RNA-targeting delivery platform.  

The agreement includes three late-stage clinical development programmes: delpacibart zotadirsen (del-zota) for the treatment of Duchenne muscular dystrophy (DMD), delpacibart etedesiran (del-desiran) for the treatment of myotonic dystrophy type 1 (DM1) and delpacibart braxlosiran (del-brax) for the treatment of facioscapulohumeral muscular dystrophy (FSHD). 

SpinCo will focus on Avidity’s early-stage programmes in precision cardiology. Key programmes include AOC 1086 and AOC 1072, which target rare genetic cardiomyopathies, including phospholamban (PLN) and Protein Kinase AMP-activated non-catalytic subunit Gamma 2 (PRKAG2) Syndrome, respectively.  

SpinCo will also encompass collaborations with Bristol Myers Squibb and Eli Lilly and hold rights to continue the development of Avidity’s proprietary platform. 

“We have already seen the tremendous impact targeted delivery of RNA therapeutics to muscle can have for people living with rare diseases based on the impressive advancements Avidity has made with its neuroscience programmes,” said Kathleen Gallagher. “Avidity’s precision cardiology pipeline is poised to progress rapidly, and I am excited to lead the team that will build on our groundbreaking AOC platform with the potential to address high unmet need in cardiovascular diseases.”

Diana Turner, Deputy Editor, DDW