Novartis to buy Tourmaline Bio for $1.4 billion

Group 1 - Novartis agreed to acquire Tourmaline Bio for approximately $1.4 billion, paying $48 per share in cash, which represents a 60% premium over Tourmaline Bio's closing price of about $30 [2][3] - Following the announcement, Tourmaline Bio's stock surged by as much as 57% in premarket trading, with shares trading just under the offer price at $47.25 [2][3] - Novartis is actively seeking acquisitions to enhance its drug pipeline and boost sales beyond 2025, particularly in light of impending competition from generic drugs for key products [2][3] Group 2 - The acquisition of Tourmaline Bio is part of Novartis's strategy to strengthen its portfolio, especially as it faces competition for its top-selling heart medication, Entresto [2][3] - In addition to the Tourmaline Bio deal, Novartis also entered an agreement to acquire Regulus Therapeutics for up to $1.7 billion earlier in April [2][3]