Update: Market Chatter: Novartis Shareholder Urges Board Changes After Trial Failures

08:11 AM EDT, 09/10/2026 (MT Newswires) -- (Updates with company response in last two paragraphs.) Novartis (NVS) shareholder Artisan Partners called for changes to the Swiss drugmaker's board following two consecutive drug trial setbacks that sent shares tumbling, Reuters reported Thursday, citing an interview with Artisan managing director David Samra. Novartis needs stronger oversight of acquisitions, citing the $12 billion Avidity deal and the 2024 MorphoSys acquisition, which was later written down, Samra told Reuters Samra questioned the board's acquisition oversight, while Novartis reaffirmed its unchanged guidance and focus on disciplined capital allocation and shareholder returns, Reuters added. Novartis shares were up 1.7% in premarket activity. "Novartis maintains its 5-6% five-year sales CAGR guidance for 2025-2030 and continues to expect mid-single-digit sales CAGR beyond 2030," the Swiss drugmaker said in response to an MT Newswires request, adding that its "pipeline is broad and built to deliver innovation across our core therapeutic areas and bring meaningful medicines to patients." "We continue a disciplined and shareholder friendly approach to capital allocation by investing in the organic business, pursuing value-creating bolt-ons, and returning capital to shareholders through a growing annual dividend and share buybacks," the company said. "We consistently deliver a total shareholder return among the top of our peer group." (Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)