Swiss pharmaceutical giant Novartis (NYSE: NVS) has announced the acquisition of DTx Pharma Inc., a preclinical stage biotech company jointly incubated by Viva Biotech Holdings (HKG: 1873). The transaction includes a USD 500 million upfront payment and potential additional payments of up to USD 500 million upon the achievement of pre-specified milestones.
DTx Pharma’s Innovative FALCON Technology
DTx Pharma is known for its Fatty Acid Ligand Conjugated OligoNucleotide (FALCON) technology platform, which uses fatty acids to enhance biodistribution and cellular uptake across various tissues and cell types in the body. This innovative approach has the potential to improve drug delivery and efficacy.
Advancements in Charcot-Marie-Tooth Disease Type 1A (CMT1A) Treatment
DTx Pharma’s lead program, which is in preclinical development, has received FDA Orphan Drug Designation for the treatment of Charcot-Marie-Tooth Disease Type 1A (CMT1A). Novartis’ acquisition not only secures the CMT1A program but also grants them full rights to the FALCON platform and two other early-stage programs focused on neuromuscular and central nervous system (CNS) indications.
Expanding Novartis’ Neuromuscular and CNS Portfolio
This acquisition significantly bolsters Novartis’ pipeline in the neuromuscular and CNS space, potentially leading to new treatment options for patients suffering from CMT1A and other related conditions. The deal underscores Novartis’ commitment to investing in cutting-edge biotechnology to drive innovation in drug development.-Fineline Info & Tech
