Novartis is “continuing to evaluate” the in vivo CAR-T space, although the pharma’s CEO has told Fierce Biotech that no deals are currently in the works.
In vivo CAR-Ts—which use gene editing to generate CAR-T cells within a patient’s body—have been a key component in the frenzy of Big Pharma dealmaking this spring. Eli Lilly bought two in vivo companies so far this year, leading industry analysts to question how many potential acquisition targets are still out there.
Novartis dipped a toe into the space in 2024 when the company leveraged Vyriad’s active targeting lentiviral vector platform.
When asked by Fierce Biotech on an earnings call this morning whether the Swiss pharma is considering buying its own in vivo biotech, Novartis CEO Vas Narasimhan said the company is “very excited about our own immune reset portfolio.”
Narasimhan pointed to rapcabtagene autoleucel, a CD19-targeted autologous CAR-T therapy, which is in phase 2 studies for blood cancers like B-cell lymphoma as well as autoimmune indications like lupus nephritis and systemic sclerosis. The company is aiming to submit the CAR-T to regulators for lupus nephritis in 2028.
“Very much our focus is hopefully bringing that medicine to market in the coming years and having a strong launch,” Narasimhan said.
Beyond rapcabtagene autoleucel, the company is “following that on with a portfolio of bispecifics and then potentially future CAR-T technologies like in vivo CAR-T,” the CEO told Fierce.
“We’ll continue to evaluate that space,” he continued. While Novartis has “no specific plans for any acquisitions” in this area, Narasimhan said his team is “very aware of what’s going on.”
“And, of course, if we see something that’s compelling, we’ll certainly take a look at it,” he added.
Related
It makes sense for Novartis to seek further sources to restock its pipeline—the company blamed the arrival of generic competition to its heart drug Entresto, leukemia med Tasigna and thrombocytopenia therapy Promacta for a 5% decline in net sales for the first quarter of the year.
It explains why Novartis was happy to join in the flurry of Big Pharma dealmaking in the first quarter, penning a $2 billion deal for allergy biotech Excellergy and its potential successor to Xolair. Novartis also paid $2 billion upfront for a pan-mutant‑selective PI3Kα inhibitor from Synnovation Therapeutics that could help defend the pharma’s breast cancer franchise from challengers like Lilly.
When asked by Fierce whether Novartis would be buying more biotechs this year to help shore up its pipeline from generic erosion, Narasimhan said Novartis is “going to stay consistent with our M&A strategy.”
“The last few years have focused on acquiring companies typically in the sub-$2 billion upfront range, which build out our portfolio and then allow us to have multiple shots on goal in our key therapeutic areas,” he told Fierce.
“I think Excellergy and Synnovation both fit that profile,” he said. “These are early- to mid-stage molecules in our core therapeutic areas, which we think can bolster our long-term growth profile.”
“We do, on occasion, do larger deals like Avidity when there’s a very compelling opportunity,” Narasimhan continued. “But I think overall, our strategies remain the same. And I think over the last few years, we’ve been one of the more active dealmakers in the space.”
“We want to continue to have a healthy acquisition approach to make sure we have enough in our portfolio for long-term growth,” the CEO said.
