(Reuters) -Swiss drugmaker Novartis has approached U.S. biotech Avidity Biosciences for a potential takeover offer, the Financial Times reported on Wednesday, citing people familiar with the matter.
Shares of Avidity rose 23% to $47.1. It has a market value of $4.6 billion, according to LSEG data.
Novartis has been evaluating a bid for Avidity and expressed interest in an acquisition in recent weeks, the report said, in a move aimed at boosting the drugmaker’s pipeline of medicines targeting rare genetic disorders.
The discussions were at an early stage, the report said, adding that the sources had cautioned that another suitor could emerge or talks could collapse.
Avidity, which has been developing treatments for rare muscle disorders, is working with advisers to assess options, the people added.
Novartis and Avidity declined to comment when contacted by Reuters.
Del-zota, Avidity’s lead drug, is in early to mid-stage development as a potential treatment for a rare form of Duchenne muscular dystrophy. The company is also working on two other drugs for serious muscle diseases.
Novartis has been actively striking deals in 2025 as it looks to bolster its drug pipeline and drive future growth.
In February, Novartis agreed to acquire Anthos Therapeutics for $3.1 billion to enhance its cardiovascular portfolio. The company also struck a deal in April valued at up to $1.7 billion to acquire Regulus Therapeutics, gaining access to an experimental treatment for a serious kidney disease.
Additionally, last month Novartis partnered with Matchpoint Therapeutics in a deal worth up to $1 billion to develop oral medicines targeting several inflammatory conditions.
(Reporting by Padmanabhan Ananthan in Bengaluru; Editing by Arun Koyyur and Shailesh Kuber)
