Novartis Acquires Regulus Therapeutics in $1.7B Deal to Strengthen Kidney Disease Portfolio

Keywords

• Pharmaceutical acquisition
• Renal disease treatment
• MicroRNA therapeutic
• Farabursen
• ADPKD (Autosomal Dominant Polycystic Kidney Disease)
• Oligonucleotide drug
• Kidney disease pipeline
• $1.7 billion acquisition

Key Facts

Novartis has entered into an agreement to acquire Regulus Therapeutics for up to $1.7 billion, significantly expanding its kidney disease portfolio4. The deal includes an upfront payment of $7.00 per share in cash, amounting to $800 million, which represents a premium of 274 percent to Regulus' 60-day volume-weighted average stock price23. Additionally, Regulus shareholders will receive a contingent value right (CVR) providing for an additional payment of $7.00 per share upon achieving regulatory approval of farabursen, bringing the potential total consideration to approximately $1.7 billion2.

The acquisition centers around Regulus' lead product candidate, farabursen (RGLS 8429), a microRNA-17 (miR-17) inhibitor being developed for the treatment of autosomal dominant polycystic kidney disease (ADPKD)4. Farabursen is positioned as a potential first-in-class medicine that may provide enhanced efficacy, tolerability, and safety compared to the standard of care for ADPKD patients4.

Recent clinical data from a phase 1b trial showed promising results, with patients receiving farabursen experiencing statistically significant increases in urinary PC1 and PC2 proteins, which inversely correlate with disease severity3. Height-adjusted total kidney volume (htTKV), a predictor of renal insufficiency, increased only 0.05% over four months in patients on farabursen, compared to 2.58% in the placebo group3.

The transaction has been unanimously approved by the Boards of Directors of both companies and is expected to be completed in the second half of 2025, subject to customary closing conditions24.

Sources:

2. https://www.prnewswire.com/news-releases/regulus-therapeutics-enters-into-agreement-to-be-acquired-by-novartis-ag-302442023.html

3. https://www.fiercebiotech.com/biotech/novartis-pays-800m-buy-regulus-phase-3-ready-kidney-drug

4. https://www.europeanpharmaceuticalreview.com/news/254821/new-1-7b-novartis-acquisition-to-advance-novel-micro-rna-inhibitor-farabursen/