Novartis to acquire Tourmaline Bio for $1.4 billion in cardiovascular push

BASEL/NEW YORK - Swiss pharmaceutical giant Novartis announced Tuesday it has entered into an agreement to acquire clinical-stage biopharmaceutical company Tourmaline Bio (NASDAQ:TRML) for $48 per share in cash, valuing the New York-based firm at approximately $1.4 billion on a fully diluted basis. The offer represents a significant premium to Tourmaline’s current trading price of $30.18, which has already surged 28% in the past week according to InvestingPro data.

The acquisition gives Novartis access to pacibekitug, Tourmaline’s anti-IL-6 monoclonal antibody currently in late-stage development for atherosclerotic cardiovascular disease. The drug targets systemic inflammation, which is considered an independent driver of cardiovascular risk. InvestingPro data shows Tourmaline maintains a strong financial position with more cash than debt and a healthy current ratio of 24.68, providing stable funding for its drug development programs.

According to the companies, pacibekitug recently completed Phase 2 trials and is ready to advance to Phase 3 development. The TRANQUILITY 90-day study results released in May showed the drug reduced median high-sensitivity C-reactive protein levels by 85-86% with adverse events comparable to placebo.

"With no widely adopted anti-inflammatory therapies currently available for cardiovascular risk reduction, pacibekitug represents a potential breakthrough in addressing residual inflammatory risk in ASCVD with a differentiated mechanism of action targeting IL-6," said Shreeram Aradhye, President of Development and Chief Medical Officer at Novartis.

The transaction, unanimously approved by the boards of both companies, will proceed through a tender offer for all outstanding Tourmaline shares. The deal is expected to close in the fourth quarter of 2025, subject to customary conditions including regulatory approvals and the tender of a majority of Tourmaline shares.

Until closing, both companies will continue to operate independently, according to the press release statement.

The acquisition aligns with Novartis’ cardiovascular disease strategy, complementing its existing portfolio as the company focuses on areas of high unmet need in cardiovascular care.

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