Molecular Partners AG (MOLN) to collaborate with Novartis (NVS)

Molecular Partners AG operates as a clinical-stage biopharmaceutical company.

  

• Sector(s): Healthcare
• Industry: Biotechnology
• Full Time Employees: 145
• Founded in 2004 
• HQ in Schlieren, Switzerland
• IPO: 6/16/21
• https://www.molecularpartners.com

Molecular Partners AG to collaborate with Novartis (NVS) to develop DARPin-conjugated radioligand therapeutic candidates for oncology

• Molecular Partners announced a collaboration with Novartis in the form of a license agreement to develop, manufacture and commercialize DARPin-conjugated radioligand therapies. The collaboration will combine Molecular Partners' industry-leading ability to rapidly generate high-affinity DARPins and the RLT capabilities and expertise of Novartis.
• Under the agreement, both parties will collaborate on the discovery and optimization of the therapeutic candidates. Novartis would be responsible for all clinical development and commercialization activities. Novartis will pay $20 million upfront to Molecular Partners, total potential development, regulatory and commercialization milestone payments of up to $560 million, and up to low double-digit percent of royalties.

-=Rigel Pharma (RIGL) initiates a COVID-19 trial

Rigel Pharma and Imperial College London initiates two-stage trial to evaluate the efficacy of fostamatinib for the treatment of COVID-19 pneumonia

Announced the initiation of an investigator-sponsored trial being conducted by Imperial College London to evaluate the efficacy of oral SYK inhibitor fostamatinib for the treatment of COVID-19 pneumonia. The primary objective of the two-stage trial, which is to be supported by co and Novartis (NVS), will be to determine the efficacy of fostamatinib and of ruxolitinib vs standard of care.

-=The Medicines Co (MDCO) to be acquired by Novartis (NVS) for $85.00/share

• Novartis adding a cholesterol drug to its arsenal.

The Medicines Co to be acquired by Novartis (NVS) for $85.00/share in cash 

Novartis announced today that it has entered into an agreement and plan of merger with The Medicines Company to acquire the US-based biopharmaceutical company for $85.00/share in cash, valuing the company at approximately $9.7 bln on a fully diluted equity basis. The offer price represents a premium of approximately 41% over The Medicines Company's 30-day (to November 22, 2019) volume weighted average price of $60.33 and approximately 24% premium over The Medicines Company's closing share price of $68.55 on November 22, 2019 which represented a fully diluted equity value of approximately $7.7 bln when including the impact of outstanding stock options and convertible debt. The transaction has been unanimously approved by the Boards of Directors of both companies.

The offer price represents a premium of approximately 41% over The Medicines Company's 30-day volume weighted average price of USD 60.33 and approximately 24% premium over The Medicines Company's closing share price of USD 68.55 on November 22, 2019 which represented a fully diluted equity value of approximately USD 7.7 bln when including the impact of outstanding stock options and convertible debt.

The transaction is expected to create significant value for patients, payers and Novartis shareholders. Assuming completion in the first quarter of 2020, Novartis expects inclisiran to start to contribute to Group and IM Division sales from 2021. It is also expected to further drive growth of the Cardiovascular-Renal-Metabolism franchise with the potential to become one of the largest products by sales in the Novartis portfolio, leveraging Novartis' global cardiovascular commercial capabilities.

The acquisition is expected to modestly dilute core EPS versus a no deal scenario during the next few years as the company invests for a successful launch of inclisiran. Novartis expects the transaction to be significantly accretive to Group core operating income and core EPS in the medium term, driven by sales growth and operational synergies, leveraging the worldwide footprint of the cardiovascular business.

=Novartis (NVS) reported earnings on Thur 18 July 19 (a/h)

Novartis AG beats by $0.13, beats on revs; raises FY19 guidance

Reports Q2 (Jun) earnings of $1.34 per share, excluding non-recurring items, $0.13 better thanthe S&P Capital IQ Consensus of $1.21; revenues rose 3.7% year/year to $11.76 bln vs the $11.45 bln S&P Capital IQ Consensus.

Core operating income grew 20% (cc, +14% USD) mainly driven by strong sales and productivity, increasing core operating income margin by 3.2 percentage points (cc) to 31.0% of net sales

2019 guidance increased for new focused medicines company: Sales expected to grow mid to high-single digit (cc), core operating income expected to grow low double digit to mid-teens (cc), sales guidance increased for both divisions.

• Sales guidance was increased from prior guidance of "growing in the mid single digits" and core operating income was increased from prior guidance of "high single digits."

====Alcon (ALC) is spun off from Novartis (NVS)

Alcon, one of the world’s leading eye-care companies, is being spun off from Swiss drug giant Novartis and will begin trading on the New York Stock Exchange and SIX Swiss Exchange on Tuesday.

The expectation on Wall Street is that Alcon’s American depositary receipts (ticker: ALC) will trade at between $40 and $50 each, but there is some uncertainty about the price. Unlike for most spinoffs of U.S. companies, there has been no so-called when-issued trading in the shares.

Novartis said the spinoff gives it a financial profile close to that of its industry peers, and said it is well-positioned for sustained top- and bottom-line growth. The company plans to improve innovative medicine core margins into the mid-30s by 2022.

Vas Narasimhan, chief executive of Novartis, said: "We continue to reimagine ourselves as a leading medicines company powered by breakthrough medicines, data science and advanced therapy platforms."

Novartis said it plans to continue paying a "strong and growing" annual dividend up from the 2.85 Swiss francs ($2.85) a share paid in 2019, with no adjustments for the Alcon spinoff.

The company said it expects to complete its previously announced share-buyback program of up to $5 billion by the end of the year.

Endocyte (ECYT) to be acquired by Novartis (NVS) for $2.1B

• Endocyte (ECYT) on Thursday announced its $2.1-billion cash sale to Novartis AG (NVS). The deal values Endocyte at $24 per share, representing a 54-percent premium from the firm’s $15.56 Wednesday closing price.
• Endocyte's radioligand portfolio, currently in mid-stage trials for cancer treatment, will supplement Novartis’ oncology pipeline of 33 candidates. Altogether, the buyer boasts 99 candidates in various stages of development.

  

(Bloomberg) -- Loyal investors who stuck with Endocyte Inc. during a three-and-a-half year slump are celebrating today after a Novartis AG buyout offer sent shares of the cancer drug biotech soaring. But those who lost patience in Endocyte are left to wonder what might have been.

Endocyte rallied more than 1,600 percent in the past 13 months as it advanced its prostate drug candidate -- climaxing on Thursday as Novartis splashed out $2.1 billion on a friendly buyout. The deal came at a 54 percent premium to Wednesday’s close and rewarded a group of sector specialist funds that made big bets on Endocyte, a small Indiana-based drugmaker that’s faced down concern its drug might not be ready for prime time.

The biggest winner was apparently VenBio Select Advisor LLC, known for making bets across the drug discovery landscape and the largest holder with more than 7 percent of Endocyte as of the latest filing period ended June 30. VenBio bought its entire position only in the first quarter, when Endocyte sold for between $3 and $11, according to Bloomberg data. Novartis offered $24 a share for Endocyte today.

Boston-based RA Capital Management bought almost an additional 1.8 million shares in the second quarter, and was the second-largest Endocyte holder as of June 30, filings show.

The value of VenBio and RA Capital’s most recent positions, as reported to the SEC for the second quarter, each rose to about $132 million at Endocyte’s peak on Thursday.

=AveXis (AVXS) to be acquired by Novartis (NVS) for $218/share

• Novartis agreed to acquire Chicago-area company AveXis for $8.7 billion to gain a promising drug to treat a rare disease that afflicts infants, hastening a shift toward gene therapy and precision medicines.
• AveXis, incorporated in 2010, sold shares in an initial public offering in 2016 at $20 a share. CEO Sean Nolan is a former executive at InterMune and Ovation Pharmaceuticals.
• The transaction is Novartis' second deal to advance in gene therapy this year—and the first led by new CEO Vas Narasimhan. The Swiss drugmaker is redeploying some of the $13 billion in proceeds from the sale of its stake in a consumer-health joint venture to partner GlaxoSmithKline to gain more firepower in prescription medicines before some of its existing best-sellers lose patent protection.
• AveXis is developing a product to treat spinal muscular atrophy, an inherited neurodegenerative disease caused by a defect in a single gene, which shows the potential to become a blockbuster, according to Novartis.
• Roche Holding and Biogen are other drugmakers that may be interested in acquiring the U.S. company, Biren Amin, an analyst for Jefferies in New York, said in a report.
• AVXS-101 helped a small group of babies with spinal muscular atrophy hit development milestones at a rate previously unseen, a study showed in November. The first medication for the disease, Biogen's Spinraza, won approval less than a year ago. Babies with the most severe form of the disease typically die before age two.
• The first gene therapy approved in Western Europe, UniQure's Glybera, turned out to be a flop. The company withdrew it from the market last year and is shifting its focus to hemophilia treatments.

• AVXS +81.23%, BOLD +9.57%, ADVM +7.25%, ABEO +7.14%, CRSP +5.27%, NTLA +5.04%, SGMO +4.42%, BLUE +4.39%, VYGR +3.34%, EDIT+3.01%, IONS +1.77%, ONCE +1.60%, ALNY +1.13%; other gene therapy stocks: QURE, SELB, AGTC, NITE

AveXis to be acquired by Novartis (NVS) for $218/share in cash, or approximately $8.7 bln 

AveXis has several ongoing clinical studies for the treatment of spinal muscular atrophy (SMA), an inherited neurodegenerative disease caused by a defect in a single gene, the survival motor neuron (SMN).

• Assuming mid 2018 completion, the acquisition impact would be slightly negative to Core Operating Income in 2018 and 2019, mainly due to R&D investments. As of 2020, Novartis would expect the acquisition impact to strongly contribute to Core Operating Income and Core EPS accretion driven by a significant increase in sales.
• Novartis is permitted under specified antitrust related circumstances to extend the Outside Date to October 6, 2018. If Novartis elects to extend the Outside Date, the offer price will increase from $218 per share to $225 per share in cash.

Completion of the transaction is expected in mid-2018, pending the successful completion of the tender offer and all other closing conditions.

=Novartis (NVS) reported earnings on Tue 18 July 2017 (b/o)

Novartis AG beats by $0.04, reports revs in-line; reaffirms FY17 revs guidance :

• Reports Q2 (Jun) earnings of $1.22 per share, $0.04 better than the Capital IQ Consensus of $1.18; revenues fell 1.8% year/year to $12.24 bln vs the $12.19 bln Capital IQ Consensus.
  • Net sales in line with prior year (0% cc, -2% USD), as growth drivers offset Gleevec/Glivec Gx impact:
    • Cosentyx ($490 million, +90% cc) continues strong growth in all three indications
    • Entresto ($110 million) grew steadily driven by improved access and US sales force expansion
    • Excluding Gleevec/Glivec, Oncology grew 9% (cc), driven by Promacta, Tafinlar + Mekinist and Jakavi
    • Sandoz declined 4% (cc) mainly impacted by increased US pricing pressure
    • Alcon grew 3% (cc) driven by Surgical (+3% cc) with growth in key segments, including IOLs, and Vision Care (+2% cc)
• Co reaffirms guidance for FY17, sees FY17 revs of in-line with FY16 of $48.5 bln vs. $48.26 bln Capital IQ Consensus Estimate.
• Co sees core operating income expected to be broadly in line or decline low single digit.

Novartis earned $1.22 a share excluding various items, down from $1.23 a year earlier. Sales fell 2% to $12.24 billion amid growing generic competition for cancer drug Gleevec. But the numbers were better than analyst forecasts for earnings of $1.16 a share and revenue of $12.1 billion.

Excluding Gleevev/Gilvec, sales of cancer drugs rose 9%, excluding the impact of foreign exchange rates. Bone marrow stimulant Promacta/Revolade pulled in $210 million, up 35%. Sales of advanced melanoma and advanced lung cancer combination Tafinlar and Mekinist grew 28% to $216 million.

Consentyx was another driver, growing 90%, excluding the impact of foreign exchange rates, to $490 million, Novartis said in a news release. The drug is approved to treat plaque psoriasis, psoriatic arthritis and inflammation of the spine and joints.

Despite broadening competition in multiple sclerosis treatments that includes the likes of Biogen (BIIB), Roche (RHHBY) and Sanofi (SNY), Novartis' MS drug Gilenya brought in $837 million, up 5% excluding the impact of foreign exchange rates. But Celgene (CELG) is now working on a drug that could directly rival Gilenya.

Novartis' Alcon eye-care unit reported a small sales increase to $1.5 billion. Novartis raised its full-year Alcon sales target slightly, hinting at a possible spinoff for the division. Sales of contact lenses grew for the fifth consecutive quarter, Evercore analyst Umer Raffat noted in a report.

=Novartis (NVS) reported earnings on Tue 25 Oct 2016 (b/o)

Novartis AG beats by $0.06, reports revs in-line; reaffirms FY16 guidance :

• Reports Q3 (Sep) earnings of $1.23 per share, $0.06 better than the Capital IQ Consensus of $1.17; revenues fell 1.1% year/year to $12.13 bln vs the $12.2 bln Capital IQ Consensus.
  • Gilenya ($790 million, +15% cc) continued double-digit growth; Cosentyx ($301 million) on track for blockbuster status in first full year after approval; Oncology growth drivers including Tafinlar + Mekinist ($172 million, +29% cc), Promacta/Revolade ($168 million, +44% cc) and Jakavi ($149 million, +47% cc); Sandoz Biopharmaceuticals ($262 million, +41% cc) delivered strong growth
• Update on regulatory submissions and filings
  • The FDA granted Breakthrough Therapy designation to LEE011 (ribociclib) in combination with letrozole as first-line treatment for women with postmenopausal HR+/HER2- advanced or metastatic breast cancer, based on positive results of the Phase III MONALEESA-2 trial.
  • Tafinlar + Mekinist (dabrafenib + trametinib) combination therapy was filed with the EMA and Swissmedic for the treatment of patients with BRAF V600E mutation-positive non-small cell lung cancer (:NSCLC). The combination has also been submitted to the FDA for the same indication.
  • PKC412 (midostaurin) was filed with the EMA and Swissmedic for the treatment of newly diagnosed FLT3 mutation-positive acute myeloid leukemia and advanced systemic mastocytosis. A rolling submission in the US is ongoing.
• Co reaffirms guidance for FY16, continues to see core operating income broadly in line or decline low single digit; continues to see net sales broadly in line with prior year (cc), or roughly $49.41 bln vs. $48.66 bln Capital IQ Consensus Estimate.
  • The co cautioned that, "If early October exchange rates prevail for the remainder of 2016, the currencyimpact for the year would be negative 1 percentage point on sales and negative3 percentage points on core operating income."
• "We are continuing toinvest for the future, as we manage the Gleevec loss of exclusivity in 2016 and2017."