Novartis agrees to acquire Avidity for $72 per share in cash

Novartis (NVS) announced that it has entered into an agreement to acquire Avidity Biosciences (RNA). The acquisition will follow the separation of Avidity’s early-stage precision cardiology programs. Under the terms of the transactions, which have been unanimously approved by the Boards of Directors of both companies, Novartis, through a merger with a newly formed indirect wholly owned subsidiary, will acquire all outstanding shares of Avidity. Pursuant to the terms of the merger agreement, holders of Avidity common stock will receive $72.00 per share in cash at closing, representing a premium of 46% to the closing share price on October 24, 2025, and valuing the company at approximately $12B on a fully diluted basis and representing an enterprise value of approximately $11B at the expected closing date. The acquisition by Novartis of Avidity is subject to the completion of a spin-off or a sale of SpinCo and other customary closing conditions, including the receipt of regulatory approvals and the approval of Avidity stockholders. The companies expect the merger to close in the first half of 2026. Until closing, Novartis and Avidity will continue to operate as separate and independent companies.