## Argo Biopharma Deepens Novartis Partnership: $160M Upfront Plus $5.2B in Potential Milestones for Cardiovascular Pipeline

Argo Biopharma has significantly expanded its strategic alliance with Novartis, one of the world's leading pharmaceutical companies, through a comprehensive multi-asset licensing and option agreement targeting cardiovascular and metabolic diseases. This latest deal marks the third major transaction between the two organizations and reflects Argo's accelerating progress in developing next-generation RNA interference (RNAi) therapeutics.

### Financial Terms and Commercial Structure

Under the new agreement framework, Argo Biopharma will receive an immediate upfront payment of $160 million from Novartis. Beyond this initial capital injection, the company is positioned to earn additional revenues through multiple streams: option payments across several molecules, development milestones, sales-based milestones, and tiered royalties on eventual commercial sales. The total potential value of milestone payments reaches up to $5.2 billion, demonstrating Novartis's substantial confidence in Argo's pipeline assets.

Notably, Novartis has also signaled non-binding intent to participate in Argo Biopharma's upcoming equity financing round, subject to standard due diligence and documentation requirements.

### Pipeline Assets and Development Scope

The collaboration encompasses multiple therapeutic candidates. Novartis has secured an option to license ex-China rights to two discovery-stage next-generation molecules designed for severe hypertriglyceridemia and mixed dyslipidemia treatment. Simultaneously, Argo will explore a combination trial approach for BW-00112, its ANGPTL3 candidate currently in Phase II development in both the U.S. and China markets.

Additionally, the agreement includes a reciprocal profit-and-loss sharing structure for an additional hepatic-delivered siRNA candidate that is currently undergoing IND-enabling studies. This molecule is anticipated to initiate a multi-territorial Phase I trial in 2026. Under this arrangement, Novartis receives ex-China licensing rights with a China P&L option, while Argo retains a U.S. market P&L option.

### Strategic Significance for Argo Biopharma

Dr. Dongxu Shu, Co-Founder, Chairman, and CEO of Argo Biopharma, emphasized the partnership's importance: "This expanded collaboration strengthens Argo's position in the cardiovascular space while supporting our goal to become a truly global biotech enterprise. Our clinical development infrastructure across multiple geographies now enables us to advance both hepatic and ex-hepatic siRNA therapeutics with differentiated efficacy profiles."

### Building on Existing Collaboration

This transaction builds upon the parties' prior partnership framework announced in January 2024, which included a $185 million upfront payment, over $4 billion in additional milestones, and a blended royalty structure across select territories. The escalating partnership underscores Novartis's commitment to Argo's RNAi technology platform and the clinical validation of its cardiovascular candidates.

### Market Context and Therapeutic Need

Cardiovascular disease remains the leading cause of mortality and morbidity globally, accounting for approximately one-third of all deaths worldwide—roughly 20.5 million deaths annually as of 2021. Long-acting siRNA therapeutics like those developed by Argo Biopharma represent a paradigm shift in how such conditions can be managed. These molecules offer potential advantages including sustained target engagement, differentiated dosing profiles, and potentially improved patient adherence compared to conventional small-molecule approaches.

Shaun Coughlin, Global Head of Cardiovascular and Metabolism at Novartis, noted: "Our expanded work with Argo Biopharma reflects our commitment to addressing unmet medical needs in cardiovascular care. The additional molecules included in this agreement strengthen our pipeline across prevention and treatment modalities."

### About Argo Biopharma

Argo Biopharma is a clinical-stage biotechnology company with expertise in developing next-generation RNAi therapeutics. The company's pipeline spans cardiometabolic diseases, viral infections, and specialty/rare disease indications, with six candidates currently in clinical development stages. The company leverages a global operational footprint across Asia, the United States, and Europe to optimize its discovery and development efficiency.

BofA Securities served as financial advisor to Argo Biopharma on this transaction.