Bloomberg: Novartis Considering Sale of Ophthalmology Unit

Novartis is considering selling its non-core assets, including its ophthalmology franchise, to raise money for cutting-edge medicines, according to a Bloomberg report, which citied people familiar with the matter.

Novartis, which earlier this year announced a major overhaul that combined its oncology and pharmaceuticals units, is in the early stages of considering options for its ophthalmology and respiratory units, according to the report. The ophthalmology business alone could fetch about $5 billion, according to Bloomberg’s sources, and some private equity firms are already studying the businesses.

When reached by Eyewire+, Novartis stated that it does not comment on market rumor or speculation.

The ophthalmology and respiratory units fall outside of the five core therapeutic areas that Novartis CEO Vas Narasimhan said he is targeting for the future of Novartis, according to the restructuring plan announced in April. Those areas include cardiovascular diseases, immunology, neuroscience, solid tumors, and hematology.

The potential full exit from ophthalmology come after Novartis spun off from Alcon in 2019.

The Bloomberg report said any sales of the ophthalmology and respiratory businesses are likely to begin in 2023, after its planned separation of generics and biosimilars company Sandoz.