Novartis investors grow wary as drug setbacks spark scrutiny of M&A strategy

Investors in Novartis are intensifying their examination of the company’s recent dealmaking after a series of setbacks involving drugs that were brought in through mergers and acquisitions. The heightened scrutiny reflects growing anxiety about the value and performance of those acquired assets.

A new study highlighted that physicians are increasingly turning to pharmaceutical sales representatives for drug information, underscoring the influence of commercial channels on prescribing behavior.

The newsletter also flagged looming patent expirations for several biologic medicines, suggesting that the timing of these losses could add further pressure on the market and on companies like Novartis that rely on biologics revenue.

Overall, the mix of investor concern, clinical reliance on sales reps, and upcoming patent cliffs points to a challenging environment for the Swiss giant as it navigates its pipeline and portfolio strategy.