Novartis

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A Swiss multinational pharmaceutical company focused on innovative medicines.

Last updated October 21, 2026

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Overview

Novartis AG is a Swiss multinational pharmaceutical company headquartered in Basel. The company develops and commercializes innovative prescription medicines, with a strategic focus on areas including cardiovascular, renal and metabolic disease; immunology; neuroscience; oncology; hematology; and ophthalmology. It operates internationally through research, development, manufacturing and commercial organizations serving patients and healthcare systems in numerous markets. The modern company was created in 1996 through the merger of two major Swiss businesses, Ciba-Geigy and Sandoz. Their pharmaceutical operations were combined under the Novartis name, while many chemical, agricultural, specialty-materials and consumer businesses were subsequently sold, spun off or reorganized. The name is derived from the Latin expression novae artes, meaning “new skills.” This restructuring gradually changed Novartis from a diversified chemicals-and-healthcare group into a more focused medicines company. Novartis has historically marketed a broad portfolio of branded medicines and, through Sandoz, generic and biosimilar products. Important medicines associated with the company include imatinib, sold as Gleevec or Glivec for certain cancers; valsartan, sold as Diovan; cyclosporine products such as Sandimmune and Neoral; clozapine, sold as Clozaril; letrozole, sold as Femara; terbinafine, sold as Lamisil; deferasirox, sold as Exjade; and diclofenac, sold under brands including Voltaren. Its newer innovative-medicine portfolio has included products such as Entresto, Cosentyx and Kymriah. Product ownership and commercialization arrangements have changed over time as Novartis has divested businesses and transferred or licensed individual brands. The company expanded through acquisitions in pharmaceuticals, biotechnology, vaccines, diagnostics and eye care. It acquired Hexal and Eon Labs in 2005 to strengthen Sandoz, bought Chiron in 2006, and progressively built a major ophthalmology business around Alcon. In 2010 it completed the acquisition of Alcon, having previously purchased a substantial minority interest. Later portfolio transactions included the acquisition of GlaxoSmithKline’s oncology business and the divestiture of several non-core operations, reflecting a continuing effort to concentrate capital on innovative medicines. Novartis is a publicly traded company whose American depositary shares trade under the ticker NVS. It remains an active global healthcare business rather than a consumer-staples or food company. Its current identity is centered on research-intensive prescription medicines, advanced therapies and specialty pharmaceuticals, while the former Sandoz generics business was separated from Novartis as an independent company in 2023.

History

Novartis was established in 1996 through the combination of Ciba-Geigy and Sandoz, two Basel-based Swiss companies with roots in nineteenth-century dye and chemical manufacturing. Ciba originated in the production of synthetic dyes during the nineteenth century, while Geigy developed from a Basel dyewood and dye-extraction business. Ciba and Geigy merged in 1970. Sandoz was founded in 1886 and progressively developed from chemicals into pharmaceuticals, establishing a dedicated pharmaceutical research department in 1917. Sandoz became known for medicines including ergot-derived migraine treatments, psychiatric products and immunosuppressants used in transplantation. Its laboratories were also associated with the discovery of the psychedelic effects of LSD in 1943. Sandoz later marketed LSD for limited psychiatric research and clinical use before withdrawing it from the market in 1965. In 1967 it merged with Wander and accumulated additional food, agricultural and specialty businesses. The 1996 merger created Novartis and initially brought together pharmaceutical and agrochemical activities. The group then began a sustained process of portfolio rationalization. Various legacy chemical and specialty-materials businesses were sold or spun off, and the agrochemical operations of Novartis and AstraZeneca were combined in 2000 to form Syngenta. Novartis consolidated its generics businesses under the Sandoz name in 2003, reviving a historic brand that had temporarily disappeared after the merger. Expansion in the 2000s included the acquisition of Hexal and Eon Labs in 2005, making Sandoz a substantially larger global generics platform. Novartis acquired Chiron in 2006, separating its biopharmaceutical, vaccine and blood-testing activities across the group. The company also sold Gerber Products to Nestlé in 2007 as part of its effort to leave non-core consumer businesses. In eye care, Novartis bought a minority interest in Alcon in 2008 and completed the acquisition in 2010, combining Alcon with CIBA VISION and its existing ophthalmology activities. During the 2010s Novartis continued to reshape its portfolio through acquisitions, licensing agreements and divestitures. It acquired Genoptix, pursued opportunities in oncology and immunology, and entered large-scale transactions with GlaxoSmithKline involving oncology, vaccines and consumer health. The company also faced legal and regulatory disputes, including the Indian patent litigation concerning Gleevec and United States allegations concerning inducements to healthcare professionals. These episodes highlighted the tension between pharmaceutical intellectual-property strategies, commercial conduct and public access to medicines. In the following years Novartis increasingly emphasized innovative medicines, advanced biologic therapies and specialized treatment platforms. The Sandoz generics and biosimilars business was ultimately separated from Novartis in 2023. The resulting company is principally a research-based pharmaceutical group focused on prescription medicines, with operations spanning discovery, clinical development, manufacturing and commercialization across global markets.

2023
Sandoz separated
[2]Novartis historynovartis.com
Novartis completed the spin-off of Sandoz, sharpening its focus on innovative medicines.
2013
Gleevec patent case decided in India
[1]Novartisen.wikipedia.org
India’s Supreme Court rejected Novartis’s patent application for a form of imatinib mesylate.
2010
Alcon acquisition completed
[1]Novartisen.wikipedia.org
Novartis completed the acquisition of Alcon, substantially expanding its eye-care activities.
2006
Chiron acquired
[1]Novartisen.wikipedia.org
Novartis acquired Chiron and distributed its businesses among biopharmaceutical, vaccine and blood-testing operations.
2005
Hexal and Eon Labs acquired
[1]Novartisen.wikipedia.org
The transactions expanded Novartis’s generic-pharmaceutical presence in Europe and the United States.
2003
Sandoz brand is revived
[1]Novartisen.wikipedia.org
Novartis placed its generic-drug operations into a consolidated Sandoz division.
2000
Syngenta is established
[1]Novartisen.wikipedia.org
Novartis and AstraZeneca combined their agricultural businesses to form Syngenta.
1996
Novartis is formed
[1]Novartisen.wikipedia.org
Ciba-Geigy and Sandoz merged, combining their pharmaceutical and agrochemical operations under the new Novartis name.

Products and positioning

Research-intensive global pharmaceutical company focused on innovative medicines and specialty therapies.

Cardiovascular medicine · 2015
Entresto
A prescription medicine used in the management of certain forms of heart failure. Entresto became one of Novartis’s important contemporary cardiovascular products and represents the company’s focus on large, evidence-based specialty-medicine franchises.
Immunology medicine · 2015
Cosentyx
A biologic medicine targeting interleukin-17A and used for several immune-mediated inflammatory conditions, including forms of psoriasis and arthritis. It is a central product in Novartis’s immunology portfolio.
Cell and gene therapy · 2017
Kymriah
A CAR-T cell therapy developed for certain blood cancers. Kymriah is associated with Novartis’s investment in personalized and advanced therapies in which a patient’s immune cells are modified and administered as treatment.
Oncology medicine · 2001
Gleevec/Glivec
The brand names for imatinib, a targeted cancer medicine associated with the treatment of chronic myeloid leukemia and other cancers. Its development and patent protection made it one of the most prominent products in Novartis’s oncology history.
Cardiovascular medicine · 1996
Diovan
A brand of valsartan, an angiotensin-receptor blocker used in cardiovascular care. Diovan was historically a major Novartis product, although its loss of patent protection contributed to commercial and organizational pressure in the early 2010s.
Neuroscience medicine · 1972
Clozaril/Clozaril
A brand associated with clozapine, an antipsychotic medicine. The product originated in the Sandoz pharmaceutical heritage and became part of the medicines portfolio inherited by Novartis.
Oncology medicine · 1996
Femara
The brand name for letrozole, an aromatase inhibitor used in hormone-sensitive breast-cancer treatment. It is one of the established oncology medicines associated with Novartis.
Anti-infective medicine · 1996
Lamisil
A brand associated with terbinafine, an antifungal medicine used against several fungal infections. It reflects the breadth of the historical Novartis portfolio beyond the company’s current priority therapeutic areas.

Controversies

2026
Novartis recalls Diovan valsartan batch over dissolution specification failure
Novartis recalled a specific batch of its Diovan (valsartan) blood pressure drug after it failed to meet dissolution specifications, potentially reducing effectiveness. The FDA classified the notice as a Class II recall, warning of possible temporary or medically reversible adverse health consequences. The affected batch, marked AV5913C, consists of 90-count 160-mg tablets expiring June 2027, manufactured by Pantheon Manufacturing Services in Greenville, North Carolina and distributed nationwide in the US.
Source
2020
Novartis recalled Sandimmune and Neoral 100 mg blister packages
Novartis recalled specified 100 mg Sandimmune and Neoral prescription drug blister packages because the packaging did not meet child-resistant requirements, posing a poisoning risk if young children swallowed the contents. No incidents or injuries were reported. Consumers were advised to secure the products and contact the firm for a free child-resistant pouch.
Source
2020
Novartis agrees to settle U.S. fraud lawsuit
Novartis agreed to pay $678 million to settle a civil fraud lawsuit. The U.S. government accused the company of illegally providing doctors with cash payments and other perks to induce them to prescribe its drugs; the settlement resolves charges under the False Claims Act and an anti-kickback statute.
Source 1 Source 2
2020
Federal Court fines GSK and Novartis over Osteo Gel marketing
The Federal Court ordered GlaxoSmithKline to pay $1.5 million and Novartis to pay $3 million after the companies admitted breaching Australian consumer law through their marketing of Osteo Gel between 2012 and 2017. The court found that the marketing misled consumers about the product's effectiveness compared with Emulgel.
Source 1 Source 2
2013
United States allegations concerning payments to doctors
The United States government brought litigation alleging that Novartis used improper payments and other inducements over an extended period to influence prescribing. The allegations concerned commercial conduct and compliance with healthcare-marketing rules.
Source
1990
Toms River contamination controversy
A former Ciba-Geigy chemical plant in Toms River, New Jersey, was associated with groundwater contamination and investigations into elevated childhood cancer incidence. The site became a United States Superfund location; later monitoring reported improved conditions and continuing water testing.
Source
1986
Sandoz chemical spill
A fire at a Sandoz storage facility near Basel caused pesticide-contaminated water to enter the Rhine, killing substantial aquatic life and prompting major environmental criticism and regulatory scrutiny. The incident predates Novartis but forms part of the corporate history inherited through the Sandoz merger.
Source

2023
Separate SandozStrategy
Background
Novartis’s strategic priorities had increasingly centered on innovative medicines, while Sandoz operated as a distinct generics and biosimilars platform.
Action taken
Novartis completed the spin-off of Sandoz as an independent publicly traded company.
Aftermath
Novartis became more focused on research-based innovative medicines, while Sandoz continued independently in generics and biosimilars.
Source
2014
Exchange oncology and vaccine businesses with GSKM&A
Background
Novartis was concentrating on selected therapeutic areas and sought to strengthen oncology while exiting much of its vaccines business.
Action taken
Novartis agreed to acquire GSK’s oncology portfolio and sell its vaccines business to GSK, alongside plans for a consumer-health joint venture.
Aftermath
The transaction materially reshaped Novartis’s therapeutic mix and reinforced its emphasis on innovative medicines.
Source
2010
Complete the Alcon acquisitionM&A
Background
Novartis had acquired a minority interest in Alcon in 2008 and viewed eye care as a strategic growth area.
Action taken
Novartis completed the purchase of the remaining Alcon interests and organized its eye-care activities into a major Alcon division.
Aftermath
The transaction made eye care one of Novartis’s largest businesses, although the company later pursued additional portfolio simplification.
Total reported transaction cost. USD 60 billion (2010)
Source
2003
Rebuild Sandoz as the generics platformStrategy
Background
Novartis had retained generic-drug operations from the two predecessor companies but needed a unified identity and operating structure.
Action taken
The company consolidated its generics businesses under the Sandoz name.
Aftermath
Sandoz became a major global generics and biosimilars business before its eventual separation from Novartis in 2023.
Source
2000
Combine agricultural operations into SyngentaM&A
Background
Novartis sought to reorganize its diversified portfolio while its agricultural business was combined with AstraZeneca’s corresponding operations.
Action taken
Novartis contributed its agrochemical and agricultural businesses to the newly created Syngenta joint company.
Aftermath
The transaction helped Novartis move toward a more healthcare-centered corporate structure while establishing Syngenta as a separate agricultural business.
Source

Recent events

2023
Novartis separated Sandoz as an independent company[2]Novartis historynovartis.com
M&A
Novartis completed the separation of its generics and biosimilars business, allowing the company to focus more narrowly on innovative medicines.
2014
Novartis and GlaxoSmithKline announced major portfolio transactions[1]Novartisen.wikipedia.org
M&A
Novartis agreed to acquire GSK’s oncology business while GSK agreed to acquire Novartis’s vaccines business, alongside a proposed consumer-health joint venture.
2013
Indian Supreme Court rejected Novartis Gleevec patent application[1]Novartisen.wikipedia.org
Lawsuit · Regulation
The court rejected Novartis’s patent application concerning the beta-crystalline form of imatinib mesylate, in a case that became important in debates over pharmaceutical patents and access to medicines.
2010
Novartis completed the Alcon acquisition[1]Novartisen.wikipedia.org
M&A
Novartis completed its purchase of Alcon and created a major eye-care division combining Alcon, CIBA VISION and Novartis ophthalmology operations.
2006
Novartis acquired Chiron[1]Novartisen.wikipedia.org
M&A
Chiron’s biopharmaceutical, vaccine and blood-testing activities were integrated into different Novartis businesses.
2005
Novartis acquired Hexal and Eon Labs[1]Novartisen.wikipedia.org
M&A
The acquisitions expanded Novartis’s generic-pharmaceutical platform and strengthened Sandoz in Germany and the United States.
2003
Sandoz generics businesses consolidated[1]Novartisen.wikipedia.org
Other
Novartis reorganized its generic-drug operations under the revived Sandoz name.
2000
Novartis and AstraZeneca formed Syngenta[1]Novartisen.wikipedia.org
M&A
The companies combined their agricultural businesses into Syngenta, supporting Novartis’s later move away from agrochemicals.
1996
Novartis created through the merger of Ciba-Geigy and Sandoz[1]Novartisen.wikipedia.org
M&A · Other
The merger combined the pharmaceutical and agrochemical operations of two major Swiss companies and established Novartis as an independent group.

Sources67 sources

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