Pharmaceutical Market Europe • April 2026 • 7

NEWS

Novartis to acquire Excellergy in deal worth up to $2bn

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Novartis is to acquire Excellergy, a private biotech company developing next-generation anti-IgE therapies for IgE-driven diseases. The acquisition includes Exl-111, a half-life extended, high-affinity anti-IgE antibody that is currently in phase 1.

Exl-111 is designed as a next-generation extension of validated biology established by anti-IgE therapy. Building on Novartis’ experience with IgE biology, Exl-111 has the potential to complement Novartis’ existing allergy portfolio across allergic conditions and patient settings.

IgE is a central driver of multiple allergic diseases and, if the mechanism for Exl-111 is confirmed clinically, it could have multiple benefits. These include: earlier symptom relief; stronger disease control; more convenient dosing, and broader use across food allergy, chronic spontaneous urticaria, chronic inducible urticaria, allergic asthma and other IgE-mediated diseases.

Paying up to $2bn in upfront and milestone payments, Novartis expects the acquisition transaction to close in the second half of 2026.

Fiona Marshall, President of Biomedical Research at Novartis, said: “Exl-111 is designed to go beyond conventional anti-IgE therapy, with the potential to deliver faster and deeper suppression of IgE signalling as well as improved symptom control.”


Merck agrees on $2.2bn deal with Quotient Therapeutics

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Merck (known as MSD outside the US and Canada) has agreed on a multiyear research collaboration with Quotient Therapeutics in a deal worth up to $2.2bn.

Through the collaboration, the companies will work to discover novel drug targets in inflammatory bowel disease (IBD) using Quotient’s somatic genomics platform technology.

Under the agreement, Quotient (a Flagship Pioneering company) will receive an upfront payment of $20m, with the company also being eligible for payments of up to $2.2bn through development, regulatory and commercial milestones.

Marc Levesque, VP, Discovery at Merck Research Laboratories, said: “Quotient’s platform has the potential to provide us with unique biological insights into genomic changes that are naturally occurring within patients with IBD.”

Quotient uses natural somatic genomics and computational technologies to develop first-in-class therapies centred around the natural somatic genetic diversity present in patients.

People naturally accumulate somatic genetic mutations during their lives, resulting in each person having trillions of different genomes. Quotient’s platform searches patient tissue for mutations within the context of disease, to find those that cause, or protect from, specific diseases.


Scotland becomes first part of UK to screen all newborn babies for SMA

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As part of a two-year evaluation funded by the Scottish government and Novartis, Scotland has started screening newborn babies for spinal muscular atrophy (SMA).

The two-year evaluation will assess how well SMA screening can detect the condition at an early stage, thereby enabling babies to receive treatment as soon as possible.
Affecting on average three to four babies in Scotland each year, SMA is a rare condition that causes progressive muscle wastage and impacts movement, breathing and swallowing.

Scotland is the first part of the UK to offer SMA screening for all newborn babies as part of the routine heel prick test done around four days after birth.

Previously, diagnosis and testing only began when symptoms appeared, but early presymptomatic treatment offers the best chance for affected children to follow typical developmental pathways and achieve key developmental milestones.

Findings from this evaluation will be used by the UK National Screening Committee to decide on whether SMA screening should be permanently included in the national newborn screening programme.

Newborn babies in Scotland are tested for ten conditions, including cystic fibrosis, congenital hypothyroidism and sickle cell disorders.

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