Arrowhead Secures $200M Upfront in Global RNAi Collaboration with Novartis

PRISM MarketView
Tuesday, September 2, 2025 at 3:29pm UTC

Arrowhead Pharmaceuticals (NASDAQ: ARWR) has signed a landmark global licensing and collaboration agreement with Novartis to advance its RNAi candidate ARO-SNCA, a therapy designed to reduce alpha-synuclein in the brain for the treatment of Parkinson’s disease and related synucleinopathies.

Under the terms, Arrowhead will receive an upfront payment of $200 million and is eligible for up to $2 billion in development, regulatory, and commercial milestones, plus tiered royalties on potential sales. Arrowhead will complete preclinical studies required for a clinical trial application, after which Novartis will assume responsibility for development, manufacturing, and commercialization worldwide.

ARO-SNCA was created using Arrowhead’s TRiM™ platform, which delivers RNA interference therapeutics with precision to hard-to-reach tissues, including the central nervous system. The approach offers a novel, non-invasive way to silence disease-driving proteins in neurodegenerative disorders, an area where conventional drug approaches have struggled.

Arrowhead CEO Christopher Anzalone said the partnership validates both ARO-SNCA and the broader TRiM™ technology, while Novartis’ head of biomedical research, Fiona Marshall, emphasized the transformative potential of RNA-based therapies in reshaping treatment options for neurological diseases.

For investors, the agreement delivers immediate non-dilutive funding, de-risks clinical development by shifting costs and execution to Novartis, and establishes a clear long-term revenue opportunity through milestones and royalties. It also positions Arrowhead as a leading innovator in RNAi therapeutics with growing credibility in the high-value neurodegenerative space.

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