Swiss pharmaceutical firm Novartis has received a binding offer from the German health technology company Siemens Healthineers to acquire its molecular imaging business.
Siemens Healthineers would acquire Novartis’ Advanced Accelerator Applications (AAA) diagnostic division for more than €200m ($224m), the Financial Times reported.
According to Reuters’ report, Novartis did not confirm the deal’s value but said Siemens Healthineers would remain a partner in the Novartis radioligand therapy (RLT) business.
RLTs comprise a radioisotope and the ligand, a targeting compound that binds to a specific marker with a radioisotope, directing the radioisotope to the target specific cancer cells.
The proposed acquisition is expected to be completed in the fourth quarter of this year.
In 2017, Novartis acquired AAA, a spin-off of France-based CERN for $3.9bn, to expand its portfolio of radioactive medicines targeting cancer.
The acquisition included AAA’s radiopharmaceutical Lutathera (177Lu-Dotatate), which received US Food and Drug Administration (FDA) approval for the treatment of neuroendocrine tumours.
In addition to radioactive drugs to treat cancer, AAA also provides molecular imaging solutions to help diagnose cancer, and cardiovascular and neurological disorders in the early stages.
In October last year, Bloomberg reported that Novartis is in the early stages of exploring a sale of some diagnostic imaging assets from its AAA business.
Earlier this year, Novartis acquired Chinook Therapeutics for $3.5bn to add atrasentan and zigakibart, which are in late-stage development for a rare kidney disease, to its pipeline.
In June, the Swiss drugmaker agreed to divest a part of its portfolio of ophthalmic medicines to Bausch + Lomb in a deal worth up to $2.5bn.
