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Novartis AG (NVS)

  • Thu, Jan. 15, 7:22 AM
    • In an effort to increase its focus on developing new drugs, privately-held Boehringer Ingelheim says that it is considering the sale of Roxane Labs, its U.S.-based generics unit. The company believes it makes more sense for a generics specialist to own the 1,300-employee business.
    • The generics industry is fiercely competitive as the number of blockbuster drugs coming off patent has declined from its peak in 2012. The top players are (NYSE:TEVA), Sandoz (NYSE:NVS) and Actavis (NYSE:ACT).
    • According to Bloomberg, Roxane could fetch as much as $2.4B. Morgan Stanley is advising.
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  • Thu, Jan. 1, 9:27 AM
    • Novartis (NYSE:NVS) has completed the $5.4B sale of its animal-health division to Eli Lilly (NYSE:LLY).
    • The sale of the unit is part of a complex overhaul at NVS that will focus the company on three core businesses: innovative pharmaceuticals, eye care, and generics.
    • As a result of the transaction, Novartis will record an exceptional pretax gain of about $4.6B in Q1 of 2015.
  • Nov. 26, 2014, 3:48 PM
    • The Federal Trade Commission approves GlaxoSmithKline's (GSK +0.4%) proposed acquisition of Novartis' (NVS +0.6%) vaccines business and the proposed creation of a consumer healthcare joint venture between the two firms.
    • As a condition of the positive vote, Novartis will divest its private label nicotine replacement therapy transdermal patch, Habitrol, in the U.S. to Dr. Reddy's Laboratories SA (RDY +1.5%).
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  • Nov. 24, 2014, 7:05 AM
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  • Oct. 27, 2014, 6:43 AM
    • Novartis (NYSE:NVS) sells its global influenza vaccine business to Australian blood products firm CSL Ltd. for $275M. The transaction, part of Novartis' effort to focus on its most promising assets, concludes the company's overhaul of its units. The deal is expected to close in 2H 2015.
    • Earlier this year, GlaxoSmithKline (NYSE:GSK) bought its vaccine business, ex-flu, for $5.25B plus milestones up to $1.8B and royalties.
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  • Oct. 3, 2014, 7:45 AM
    • The European Commission approves Eli Lilly's (NYSE:LLY) acquisition of Novartis' (NYSE:NVS) Animal Health business. Its investigation found that the proposed transaction does not raise competition concerns due to the presence of other prominent competitors.
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  • Sep. 1, 2014, 8:20 AM
    • EU antitrust authorities will decide whether to clear Eli Lilly's (NYSE:LLY) $5.4B offer for Novartis' animal health division (NYSE:NVS) by Oct. 3.
    • The acquisition is part of several deals recently announced in the healthcare industry, and would create the world's second-largest animal health company.
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  • Aug. 19, 2014, 7:14 AM
    • Novartis (NYSE:NVS) buys a 15% stake in Gamida Cell, an Israeli developer of stem cell therapies, for $35M and receives an option to acquire the company from parent Elbit Imaging. The buyout is linked to the achievement of development milestones for NiCord, a treatment for hematologic diseases such as leukemia, lymphoma and sickle cell disease.
    • If Novartis exercises its option, it would pay $165M in cash and up to $435M in milestone payments. The option expires in 1H 2016.
    • NiCord is currently in Phase 1/2 clinical trials.
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  • May. 11, 2014, 2:30 AM
    • Sanofi (SNY), Johnson & Johnson (JNJ) and other major pharmaceutical companies have rebuffed Allergan's (AGN) inquiries as to whether they would be interested in buying the botox maker, Bloomberg reports.
    • Sanofi isn't interested, while J&J is concerned about the problems of combining the two biggest makers of breast implants in the U.S. Allergan has also approached GlaxoSmithKline (GSK) and Novartis (NVS).
    • Allergan contacted the possible suitors as it's not happy with an acquisition offer of $45.7B from Valent (VRX) that is being supported by Bill Ackman's Pershing Square.
    • Some of the firms that Allergan has approached would possibly buy parts of the company, but not the whole business.
  • Apr. 27, 2014, 1:23 AM
    • Merck (MRK) could agree a deal to sell its consumer healthcare operations this week for almost $14B, Reuters reports, with Germany's Bayer (BAYRY) and U.K.-based Reckitt Benckiser (RBGLY) the frontrunners to buy the unit.
    • Other healthcare consumer giants have also also shown interest in the business, including Procter & Gamble (PG), Novartis (NVS) and Sanofi (SNY).
    • Merck is looking to sell the operations as it only holds around 1% of the market.
    • A deal would be the latest in a wave of blockbuster transactions to have swept the healthcare sector recently, such as Pfizer's $100B+ reported offer to acquire AstroZeneca, Valeant and Bill Ackman's $47B play for Allergan, Zimmer's agreement to purchase Biomet for $13.35B, and a series of deals involving Novartis, GlaxoSmithKline and Eli Lilly.
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  • Feb. 20, 2014, 4:33 AM
    • Novartis (NVS) and Bayer (BAYRY) are among the suitors that are exploring an acquisition of Merck's (MRK) consumer-healthcare business, Reuters reports, adding that the unit could be worth $10-12B.
    • Reckitt Benckiser (RBGPF) and Procter & Gamble (PG) are also among the companies to have held talks with Merck about a deal. However, GSK (GSK) is not interested.
    • Novartis and Merck have considered swapping the latter's consumer-healthcare operations for Novartis' animal-health and human vaccines businesses, although such a deal is looking unlikely.
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  • Feb. 17, 2014, 5:09 AM
    • Novartis (NVS) has agreed to acquire CoStim Pharmaceuticals, which focuses on using the immune system to battle cancer.
    • Terms of the deal weren't disclosed.
    • Immunotherapy is one of the hottest areas of cancer research, with Merck, AstraZeneca and Bristol-Myers among those working in the field. (PR)
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  • Feb. 4, 2014, 2:33 PM
    • Novartis (NVS -0.7%) reportedly is drawing interest for its human vaccines unit as talks to swap its animal health business for assets from Merck (MRK +2.6%) slow down.
    • While the vaccines unit was initially on the table with animal health as part of the possible trade for MRK’s over-the-counter drugs business, NVS may now sell the vaccines unit separately in a deal that could be valued at ~$1B.
    • NVS and MRK are still talking but agreeing on valuation is proving difficult, so NVS has informally talked to Eli Lilly (LLY -0.1%) and Bayer (BAYRY, BAYZF) about the animal health business, according to the report.
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  • Jan. 9, 2014, 3:05 AM
    • Novartis (NVS) is reportedly in discussions with Merck (MRK) for the Swiss pharmaceuticals company to trade its animal-health and human vaccines businesses for the U.S. drug maker's over-the-counter health-products unit.
    • The deal would involve each company swapping around $5B in assets and would fit in with their strategies - and with an industry trend - of focusing on their main strengths and of divesting non-core operations. (Previous)
    • Separately, Japanese health regulators have taken the unprecedented step of asking Tokyo prosecutors to begin a criminal investigation into whether Novartis violated advertising regulations by exaggerating the effectiveness of its Diovan hypertension drug in marketing materials. The alleged breach could lead to fines and jail terms. (Previous)
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  • Dec. 10, 2013, 7:16 AM
    • Novartis (NVS) is reportedly considering an attempt to swap its animal-health division with a business owned by Merck (MRK) or another company.
    • The Swiss firm, which apparently has little use for the cash that a sale or IPO would bring, has its eye on Merck's over-the-counter drug business, although it's not clear whether the latter would be open to such an exchange.
    • Novartis' animal-health unit has drawn interest from German drugmakers Boehringer Ingelheim and Bayer (OTCPK:BAYZF), and from Eli Lilly (LLY).
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  • Dec. 3, 2013, 7:16 AM
    • Novartis (NVS) has reportedly opened the books of its animal-health business to Bayer (BAYRY) and other potential suitors so that they can carry out their due diligence.
    • Novartis' animal-health unit generates sales of $1.1B and that of Bayer $1.7B, so a combination would create the number three or four company in the sector. Zoetis is the industry leader.
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Company Description
Novartis AG is engaged in the research, development, manufacturing and marketing of healthcare products and pharmaceuticals.