Tourmaline Bio stock soars on $1.4B Novartis acquisition deal
The Swiss pharmaceutical giant will pay a 59% premium for the US biotech and its promising cardiovascular drug, pacibekitug.
Tourmaline Bio's stock skyrocketed Tuesday after Swiss drugmaker Novartis announced it would acquire the US biotech firm in a deal valued at approximately $1.4 billion. The all-cash transaction prices Tourmaline at $48 per share, a hefty 59% premium over its closing price on the previous trading day.
The acquisition centers on Tourmaline's lead asset, pacibekitug, a promising new treatment for atherosclerotic cardiovascular disease (ASCVD). with the potential to address the significant unmet need for anti-inflammatory therapies in cardiovascular risk reduction. "Inflammation is a major driver of cardiovascular disease," said Shreeram Aradhye, Novartis's Chief Medical Officer, in a statement. "We are excited to bring pacibekitug into the Novartis portfolio."
, is expected to close in the fourth quarter of 2025, subject to regulatory approvals. The move is part of Novartis's broader strategy to bolster its drug pipeline through bolt-on acquisitions, particularly in high-need areas like cardiovascular medicine. For Tourmaline, the acquisition offers a significant return for shareholders and a clear path forward for its lead drug candidate.
"Our mission at Tourmaline has been to establish new standards of care in areas of high unmet medical need, and today’s transaction announcement both underscores our commitment to that focus and also delivers compelling shareholder value,” said Sandeep Kulkarni, MD, Co-Founder and Chief Executive Officer of Tourmaline. to accelerate the development and commercialization of pacibekitug, potentially bringing a new class of treatment to millions of patients at risk for cardiovascular events.