Novartis Confirms Offer for Diagnostic Arm From Siemens Healthineers

By Anthony O. Goriainoff

Novartis confirmed that it has received a binding offer from Siemens Healthineers to buy its molecular imaging business for an undisclosed amount.

The Swiss pharma major said Monday that the divestment was part of a strategic assessment, which concluded that growth of its diagnostic arm would be best supported if under the ownership of a dedicated diagnostics shareholder.

It added that as part of the transaction--which is expected to close in the fourth quarter--Siemens Healthineers will remain a partner for the Novartis radioligand therapy business.

"This would allow Novartis to continue focusing its own efforts and capabilities as a pure-play innovative medicines company, aiming to reimagine cancer care with radioligand therapy," the company said.

Radioligand therapy is a type of targeted nuclear medicine used in the treatment of multiple types of cancer.

Novartis didn't disclose any financial details. However, a report from the Financial Times says the deal is worth around 200 million euros ($223.9 million).

Siemens Healthineers didn't respond to a request for comment from Dow Jones Newswires.

Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com

(END) Dow Jones Newswires

August 26, 2024 05:47 ET (09:47 GMT)

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