Avidity Biosciences stock: Novartis defends 12 billion US dollar deal

Published on 10/31/2026 at 01:06 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Avidity Biosciences stock stays under scrutiny after Novartis took a 1.9 billion US dollar impairment tied to del-desiran. The buyer still backs the platform.

Novartis backs Avidity platform

Del-desiran failed to meet the primary endpoint in a Phase 3 study for myotonic dystrophy type 1.
Novartis linked a 1.9 billion US dollar impairment to the need for additional clinical work.
Other Avidity programs remain in development for FSHD and Duchenne muscular dystrophy.

RNA, US05370A1088, Illustration mit AI erstellt.

Novartis is standing by its Avidity Biosciences acquisition despite a major setback for one of the biotech's lead programs. Fierce Biotech reported on October 27 that Novartis CEO Vas Narasimhan described the acquisition as on track after del-desiran failed in a Phase 3 trial for myotonic dystrophy type 1.

Trial setback weighs on deal

Novartis linked a partial impairment of 1.9 billion US dollars to the trial failure. The charge reflects the additional time and resources the company expects will be needed to pursue another pivotal study.

Narasimhan said the result did not change Novartis' conviction in antibody-oligonucleotide conjugates, which are designed to combine antibody targeting with oligonucleotide-based genetic medicine. He also pointed to clinical activity in secondary and exploratory endpoints from the del-desiran program.

Pipeline remains in focus

Two other assets from the Avidity deal remain important to the buyer's strategy. Delpacibart braxlosiran is in a Phase 3 trial for facioscapulohumeral muscular dystrophy, while delpacibart zotadirsen is under priority review by the U.S. Food and Drug Administration for Duchenne muscular dystrophy.

The developments leave investors weighing the setback to del-desiran against the remaining clinical pipeline and the broader delivery technology acquired by Novartis. The latest report does not establish a direct stock-price reaction.

Targeted RNA technology

Avidity Biosciences develops targeted RNA therapeutics for rare diseases. According to the company's company website, its AOC platform combines monoclonal antibodies with oligonucleotides to target tissues and cells that have been difficult to reach. The San Diego, California-based company is advancing programs focused on muscle diseases, including FSHD, DMD and myotonic dystrophy type 1.