Novartis has entered into a licensing and collaboration agreement with SciNeuro Pharmaceuticals for the development of therapies targeting Alzheimer’s disease, in a deal valued at up to USD 1.7 billion. The agreement marks a significant transaction in the neuroscience space and underscores continued investment activity in treatments for neurodegenerative disorders.

Under the terms of the agreement, SciNeuro will receive an upfront payment of USD 165 million from Novartis. In addition to the upfront consideration, the deal includes development, regulatory and commercial milestone payments, which together could take the total deal value to approximately USD 1.7 billion. SciNeuro is also eligible to receive tiered royalties on net sales of any products that may be commercialised under the agreement.

The collaboration provides Novartis with exclusive worldwide rights to SciNeuro’s antibody-based programme for Alzheimer’s disease. The programme incorporates blood-brain barrier (BBB) shuttle technology, which is designed to facilitate the transport of therapeutic antibodies into the brain. This technology is intended to address challenges associated with delivering biologics across the blood-brain barrier, a key obstacle in the development of central nervous system therapies.

As part of the collaboration structure, both companies will jointly conduct early-stage development activities related to the programme. Once the programme advances beyond early development, Novartis will assume responsibility for late-stage clinical development, as well as regulatory submissions and global commercialisation. This includes overseeing pivotal clinical trials and managing product launches across international markets, subject to regulatory approvals.

SciNeuro will continue to contribute its scientific and technical expertise during the early phases of development, while Novartis will leverage its global development, regulatory and commercial infrastructure in the later stages. The programme covered under the agreement is currently in early clinical development, according to the companies.

The transaction is subject to customary regulatory approvals and closing conditions. The companies expect the deal to be completed in the first half of 2026.

The agreement reflects ongoing collaboration activity between large pharmaceutical companies and biotechnology firms focused on developing novel therapies for Alzheimer’s disease, a condition for which effective disease-modifying treatments remain limited.

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