Novartis signs US$3.2 bn subcutaneous delivery deal with Alteogen

Swiss pharma giant secures access to Korean biotech's ALT-B4 hyaluronidase platform in milestone-heavy agreement, marking Alteogen's fourth major licensing deal of 2026 as competition intensifies in the subcutaneous drug delivery space.

Novartis has entered into a significant option and licence agreement with South Korean biopharmaceutical company Alteogen, potentially worth up to $3.2 billion, to develop and commercialise multiple subcutaneous products using Alteogen's ALT-B4 drug delivery technology. The deal marks another major partnership for the Korean firm as it continues to establish itself as a leading challenger to Halozyme Therapeutics in the subcutaneous drug delivery space.

Under the terms of the agreement, Novartis will hold multiple options to secure exclusive rights to develop drugs using the ALT-B4 platform, also known as berahyaluronidase alfa. The total value of $3.223 billion encompasses option exercise fees, milestone payments tied to development and commercial achievements, and royalties on net sales of products commercialised under the agreement. Neither company has disclosed details of any upfront payment, suggesting the deal is heavily milestone-driven, which is typical for platform access agreements of this nature.

ALT-B4 is a recombinant human hyaluronidase enzyme developed using Alteogen's proprietary Hybrozyme platform. The technology works by temporarily depolymerising hyaluronan in the extracellular matrix, which enables co-administered medicines to disperse and be absorbed more rapidly following subcutaneous injection. This capability is increasingly valuable to pharmaceutical companies seeking to convert intravenous biologics into more convenient subcutaneous formulations, broadening use settings and improving patient convenience.

The agreement represents Alteogen's fourth licensing deal of 2026 and underscores the growing commercial interest in subcutaneous delivery platforms as drugmakers look to enhance the administration of complex biologic medicines. The company has successfully positioned itself as a prominent alternative to Halozyme Therapeutics, attracting partnerships with major pharmaceutical players including Biogen and GSK, who have previously signed similar agreements to access the ALT-B4 technology.

For Novartis, the deal expands its subcutaneous delivery options and aligns with the broader industry trend towards more patient-friendly administration routes. As the pharmaceutical sector continues to prioritise formulation innovation, particularly for biologic therapies that traditionally require intravenous infusion, partnerships such as this one are likely to become increasingly common. The substantial potential value of the agreement reflects both the strategic importance of subcutaneous delivery technology and Novartis's commitment to advancing its portfolio with improved drug delivery solutions.

Source: Novartis inks $3.2B subcutaneous drug delivery deal with Alteogen [Accessed September 3, 2026] https://www.fiercebiotech.com/biotech/novartis-inks-32b-subcutaneous-drug-delivery-deal-alteogen