Share buyback of up to USD 15bn planned to be executed by end 2023, highlighting confidence in top line growth and deep pipeline

Sales expected to grow 4%+ CAGR through 2026* and up to 20 new assets with significant sales potential set to potentially be approved by 2026, to fuel further growth through 2030 and beyond

Capital allocation strategy aims to combine investing in core business and returning excess capital to shareholders

Basel, December 16, 2021 — Novartis today announced that it will initiate a share buyback of up to USD 15 billion to be executed by the end of 2023. The buyback is funded through the proceeds from the recent sale of 53.3 million Roche bearer shares.

The Novartis Board of Directors and Executive Committee are confident in the company’s short, medium and long-term growth profile based on strong in-market portfolio, a robust pipeline with up to 20 assets with significant potential, and advanced technology platforms. With strong operational performance, prospects for earnings growth and the proceeds from the recent sale of the Roche stake, Novartis retains the flexibility to return value to shareholders through the planned USD 15bn share buyback, without compromising the company’s capacity for value-creating bolt-on M&A, whilst providing a strong, growing dividend and reinvesting in the business.

The share buy-back will be executed on the 2nd trading line, is expected to commence in the coming days and to conclude by the end of 2023. A proposal for an additional CHF 10bn buyback will be presented to the the forthcoming Annual General Meeting on March 4, 2022 to cover the amount exceeding the CHF 8.8bn still available under the existing shareholder authority granted in 2021. Further information on the growing dividend and growth outlook will be provided at the company’s full year 2021 results on February 2nd, 2022.

Disclaimer

This press release contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. etc. etc..
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