Avidity Biosciences (RNA) Soars 42% on $12-Billion Novartis Merger

Core Viewpoint - Avidity Biosciences, Inc. has seen a significant stock price increase of 42.1% following the announcement of a $12 billion merger agreement with Novartis AG, which aims to enhance Novartis's neuroscience portfolio [1][3]. Group 1: Merger Details - Novartis has agreed to acquire Avidity Biosciences at a price of $72 per share through a newly formed subsidiary, indicating a strategic move to bolster its neuroscience franchise [2][4]. - Prior to the merger's completion, Avidity will transfer its early-stage precision cardiology programs and certain assets to a wholly owned subsidiary named SpinCo, with existing partners given the first opportunity to negotiate for these assets [3][4]. - Shareholders of Avidity will receive one share of SpinCo for every 10 shares of RNA they own, or cash if Avidity opts to sell SpinCo to another entity [4]. Group 2: Timeline and Operations - The merger is expected to close in the first half of 2026, during which Avidity and Novartis will continue to operate as independent companies [4].