Novartis Launches $1.4B Tender Offer for Tourmaline Bio
The acquisition targets Tourmaline's promising Phase III-ready cardiovascular drug, pacibekitug, to bolster Novartis's pipeline.
Swiss pharmaceutical giant Novartis (NVS) has officially commenced a tender offer to acquire Tourmaline Bio (TRML), a clinical-stage biotechnology company. The all-cash deal values Tourmaline at approximately $1.4 billion on a fully diluted basis, representing a significant move by Novartis to expand its cardiovascular treatment portfolio.
Under the terms of the agreement, which has received unanimous approval from the boards of both companies, a subsidiary of Novartis will offer to purchase all outstanding shares of Tourmaline common stock for $48.00 per share. This price represents a substantial premium of 59% to Tourmaline's closing stock price on September 8, 2025, and a 127% premium to its 60-day volume-weighted average stock price.
The strategic focus of the acquisition is Tourmaline's lead asset, pacibekitug, a long-acting, fully-human, anti-IL-6 monoclonal antibody. This Phase III-ready drug is being developed as a potential treatment for atherosclerotic cardiovascular disease (ASCVD) and other inflammatory conditions. Novartis aims to integrate pacibekitug into its existing cardiovascular pipeline, targeting the underlying inflammation that contributes to ASCVD.
The completion of the tender offer is subject to customary conditions, including the tender of a majority of Tourmaline's outstanding shares and the receipt of necessary regulatory approvals. The transaction is not subject to a financing condition and is expected to close in the fourth quarter of 2025. Following a successful tender offer, Novartis will complete a merger to make Tourmaline a wholly-owned subsidiary.
Tourmaline Bio's board of directors has unanimously recommended that the company's shareholders tender their shares in the offer. Until the transaction closes, Tourmaline Bio will continue to operate as a separate and independent company.