Novartis inks up to $5.7B Monte Rosa deal for AI-enabled protein degraders

The partnership targets immune-mediated diseases, with $120M upfront and options on additional programs discovered via an AI (artificial intelligence) platform.

Summary

Novartis signed a licensing agreement worth up to $5.7B with Monte Rosa Therapeutics to develop protein degraders for immune-mediated diseases, including an $120M upfront payment and exclusive rights to one discovery target plus options on two more programs. Monte Rosa will use its AI-enabled degrader platform to discover small molecules, while Novartis leads clinical development and commercialization.
Key details: up to $5.7B total value, $120M upfront, exclusive license + two program options. Reuters+2GlobeNewswire+2

What happened

• Deal scope: Novartis obtained an exclusive license to one undisclosed target and options to license two additional programs from Monte Rosa’s preclinical immunology portfolio (company release). Monterosa
• Modality & tech: The collaboration centers on molecular glue degraders discovered via Monte Rosa’s AI/ML-enabled platform (press statement). GlobeNewswire
• Roles: Monte Rosa leads discovery/early studies; Novartis will advance licensed assets through clinical development and commercialization (Reuters). Reuters
• Context: This is the second collaboration between the companies in under a year (Fierce Biotech). Fierce Biotech

Key numbers and dates

• $120M upfront today, with potential milestones/royalties lifting the value up to $5.7B (Reuters; press release). Reuters+1
• Rights & options: Exclusive license to one target; options on two additional programs (company IR note). Monterosa
• Therapeutic focus: Immune-mediated diseases (BioPharma Dive coverage). BioPharma Dive

What to watch next

• Which optional programs Novartis elects to license as discovery milestones are met. Monterosa
• Early preclinical/IND timing disclosures from Monte Rosa and any option-exercise triggers tied to data. GlobeNewswire
• How Novartis positions molecular glue degraders within its broader immunology pipeline and recent deal flow. Reuters

Why this matters for you

Commercial and medical teams can expect more interest in protein degradation beyond oncology. Now is the time to prepare plain-English explainers that compare degraders to traditional inhibitors, align advisory boards on mechanism and monitoring, and map out early evidence needs for payers and investigators as programs advance.

Digital and product teams will be asked to support AI-enabled discovery narratives with solid validation and clear governance. That includes design of audit-ready model documentation, data flow diagrams for partner collaborations, and dashboards that track milestones, option timing, and portfolio value—all grounded in privacy, bias testing, and reproducibility standards.

Sources: Reuters; Monte Rosa press release; Monte Rosa IR note; Fierce Biotech; BioPharma Dive