Switzerland-based pharmaceutical company Novartis has agreed to acquire US-based biopharmaceutical company Regulus Therapeutics for up to $1.7bn.
Under the terms of the agreement, the Swiss drugmaker will make an upfront payment of $800m and a potential additional $900m, upon achieving a future regulatory milestone.
Novartis will purchase all shares of Regulus common stock at $7 per share in cash, plus a contingent value right of up to $7 per share, payable upon a regulatory milestone.
Upon completion of the tender offer, Novartis would merge the acquiring subsidiary with Regulus, making it an indirect wholly owned subsidiary.
The transaction, approved by both companies’ boards, is expected to close in the second half of 2025, pending customary closing conditions and regulatory approvals.
Until closing, Novartis and Regulus will continue to operate independently.
Novartis development president and chief medical officer Shreeram Aradhye said: “With limited treatment options currently available for patients suffering from ADPKD, farabursen represents a potential first-in-class medicine with a profile that may provide enhanced efficacy, tolerability and safety versus standard of care.
“ADPKD is the most common genetic cause of renal failure worldwide.
“The team at Regulus has done meaningful foundational work with farabursen, and we look forward to investigating its potential further as we aim to bring a better treatment option to patients in need.”
Regulus is a clinical-stage biopharmaceutical company focused on microRNA therapeutics for autosomal dominant polycystic kidney disease (ADPKD).
The acquisition includes Regulus’ lead asset, farabursen, a next-generation oligonucleotide targeting miR-17, which recently completed a Phase 1b trial.
Farabursen is an investigational microRNA inhibitor targeting miR-17 with preferential kidney exposure, to reduce cyst growth and kidney size, delaying disease progression in ADPKD.
In March 2025, Regulus completed a Phase 1b multiple-ascending dose clinical trial, with promising efficacy and safety, urinary polycystin and height-adjusted total kidney volume.
Regulus Therapeutics CEO Jay Hagan said: “We are excited to combine with Novartis to potentially bring farabursen to patients living with ADPKD, who currently have limited treatment options.
“Novartis’ established global development, and commercial capabilities will enable this important new medicine to reach patients if approved.
“I am proud of the work that our team at Regulus has achieved in advancing this important new therapy and would like to thank all of the patients, investigators, and the ADPKD community in moving our program forward to this important milestone.”
Recently, Novartis announced its plans to invest $23bn over five years to strengthen its US-based manufacturing infrastructure, amid concerns over potential tariffs on medicine imports.
