Teva and Blackstone Life Sciences Announce $400 Million Strategic Growth Capital Agreement to Advance duvakitug

Rhea-AI Summary

Teva (NYSE: TEVA) and Blackstone Life Sciences announced a $400 million strategic funding agreement over four years to support development of duvakitug, a human monoclonal antibody targeting TL1A in phase 3 studies for ulcerative colitis and Crohn’s disease.

BXLS may earn regulatory and commercial milestones plus low single-digit royalties on worldwide sales, and Teva remains co-developer/co-commercializer with Sanofi subject to regulatory approval.

Positive

• $400 million committed over four years to fund duvakitug development
• BXLS funding reduces near-term R&D cash burden for Teva
• Potential commercial partnership with Sanofi already in place
• Phase 3 clinical program progressing for UC and CD

Negative

• BXLS eligible for milestones and low single-digit royalties, reducing future net sales
• Regulatory approval required (FDA) before milestone payments and commercialization
• Commercial upside partially shared with BXLS and Sanofi under agreements

Key Figures

Strategic funding: $400 million Funding horizon: four years Development stage: phase 3 +1 more

4 metrics

Strategic funding $400 million Growth capital from Blackstone Life Sciences for duvakitug development

Funding horizon four years Period over which the $400 million will be provided

Development stage phase 3 Duvakitug clinical studies in ulcerative colitis and Crohn’s disease

Prior data stage phase 2b Duvakitug maintenance data in UC and CD referenced in the release

Market Reality Check

Price: $32.28 Vol: Volume 9,966,811 is 21% a...

normal vol

$32.28 Last Close

Volume Volume 9,966,811 is 21% above 20-day average 8,258,374, indicating elevated interest pre-announcement. normal

Technical Price 32.28 is trading above 200-day MA at 22.91, reflecting a pre-existing uptrend.

Peers on Argus

TEVA slipped -0.27% with mixed peer moves: UTHR -2.07%, VTRS -1.06%, NBIX -0.64%...

1 Down

TEVA slipped -0.27% with mixed peer moves: UTHR -2.07%, VTRS -1.06%, NBIX -0.64%, while RDY and TAK were modestly up. Only HLN appeared in momentum scans, moving down without news, suggesting TEVA’s action is more stock-specific than a broad sector rotation.

Historical Context

5 past events · Latest: Feb 24 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Feb 24	Investor conferences	Neutral	-0.9%	Announcement of CEO participation in multiple March investor conferences.
Feb 20	Regulatory milestone	Positive	-0.3%	FDA acceptance of NDA for once-monthly olanzapine injection TEV-'749.
Feb 17	Clinical data update	Positive	+1.3%	Positive phase 2b maintenance data for duvakitug in UC and CD.
Jan 28	Earnings and guidance	Positive	+2.1%	Reported 2025 growth, strong innovative brands, cash flow, and 2026 guidance.
Jan 27	Awareness partnership	Positive	+1.2%	Huntington’s disease awareness campaign launched with actor Will Forte.

Pattern Detected

Recent TEVA news has typically produced modest, mostly positive moves, with one divergence where positive regulatory news coincided with a slight price decline.

Recent Company History

Over the last few months, TEVA has highlighted its Pivot to Growth execution, including 2025 revenue of $17.3B and strong innovative-brand expansion, alongside debt reduction. Positive duvakitug phase 2b data on Feb 17 and an NDA acceptance for TEV-'749 on Feb 20 underscored the pipeline. Additional conference participation and disease-awareness partnerships rounded out the narrative. Today’s duvakitug funding agreement builds directly on that prior efficacy update and broader growth strategy messaging.

Market Pulse Summary

This announcement adds $400 million in strategic growth capital from Blackstone Life Sciences to adv...

Analysis

This announcement adds $400 million in strategic growth capital from Blackstone Life Sciences to advance duvakitug, a phase 3 TL1A-targeting monoclonal antibody in UC and Crohn’s disease. It follows earlier positive phase 2b maintenance data and reinforces Teva’s Pivot to Growth focus on innovative assets. Investors may track upcoming phase 3 readouts, regulatory milestones, and any disclosed commercial terms or royalty burdens as key markers of how this partnership translates into long-term value.

Key Terms

monoclonal antibody, tl1a, ulcerative colitis, crohn’s disease, +2 more

6 terms

monoclonal antibody medical

"Duvakitug is a human monoclonal antibody targeting TL1A, a promising target..."

A monoclonal antibody is a laboratory-made protein designed to recognize and attach to a specific target in the body, such as a disease-causing substance or cell. It functions like a highly precise lock-and-key tool, helping to treat or detect illnesses. For investors, companies developing monoclonal antibodies can represent promising opportunities in the healthcare sector, especially as these treatments often address unmet medical needs.

tl1a medical

"Duvakitug is a human monoclonal antibody targeting TL1A, a promising target..."

TL1A is a small signaling protein produced by the immune system that tells certain immune cells to ramp up inflammation, similar to a thermostat that raises the heat in response to a trigger. Investors watch TL1A because drugs or tests that block or measure it can change how inflammatory diseases are treated and diagnosed, affecting the commercial value of therapies, clinical trial outcomes, and potential regulatory approvals.

ulcerative colitis medical

"phase 3 clinical studies for ulcerative colitis (UC) and Crohn’s disease (CD)"

A long-term inflammatory disease that causes repeated sores and irritation in the large intestine, leading to symptoms such as abdominal pain, urgent diarrhea, and fatigue. For investors, it matters because the condition creates a steady need for effective treatments, influences the size of drug and medical-device markets, and makes clinical trial results, regulatory decisions and treatment approvals material to companies’ revenue prospects—like watching for fixes to a recurring leak in an important building system.

crohn’s disease medical

"phase 3 clinical studies for ulcerative colitis (UC) and Crohn’s disease (CD)"

A long-lasting inflammatory condition that can inflame any part of the digestive tract, causing pain, diarrhea, weight loss and fatigue; symptoms often flare up unpredictably and may require lifelong medication or surgery. Investors monitor Crohn’s disease because its chronic, costly nature creates steady demand for treatments, diagnostics and medical services, so new drugs, trial results or approval decisions can materially change sales prospects and company valuations — think of it like a recurring plumbing problem that drives ongoing repair business.

regulatory milestones regulatory

"BXLS will be eligible for regulatory and commercial milestones as well as royalties..."

Regulatory milestones are the key official steps a company must reach with government agencies—such as filings, approvals, clearances or formal reviews—before a product or business activity can move forward. For investors they matter because hitting or missing these milestones can change a company’s ability to sell products, unlock revenue, reduce legal and development risk, or trigger payments, much like a traffic light or checkpoint that determines whether a project can continue on schedule.

royalties financial

"BXLS will be eligible for regulatory and commercial milestones as well as royalties..."

Payments made to the owner of an asset or intellectual property each time that asset is used or a product is sold, often calculated as a percentage of sales or a set amount per unit. Royalties matter to investors because they create predictable, ongoing income streams and affect a company’s cash flow and valuation—like a landlord collecting rent or an author getting a steady cut whenever a book is sold.

AI-generated analysis. Not financial advice.

• Blackstone Life Sciences will provide $400 million to support development of duvakitug, a human monoclonal antibody targeting TL1A
• Duvakitug is currently in phase 3 clinical studies for ulcerative colitis (UC) and Crohn’s disease (CD)
• Agreement supports Teva’s Pivot to Growth strategy to accelerate its innovative pipeline and drive long-term growth
  

PARSIPPANY, N.J. and CAMBRIDGE, Mass., March 03, 2026 (GLOBE NEWSWIRE) -- Teva Pharmaceuticals, a U.S. affiliate of Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) and funds managed by Blackstone Life Sciences (“BXLS”) today announced a $400 million strategic funding agreement spread across four years to support the continued clinical development of duvakitug. Additionally, under the terms of the agreement, BXLS will be eligible for regulatory and commercial milestones as well as royalties on duvakitug worldwide sales.

“Today’s announcement highlights how we are turning strategy into action under Pivot to Growth,” said Evan Lippman, Executive Vice President, Business Development, Teva. “By pursuing disciplined, capital-efficient partnerships, we are accelerating pipeline advancement while maintaining financial strength. This is the model we will continue using to build a more innovative, resilient, and growth-oriented Teva.”

Duvakitug is a human monoclonal antibody targeting TL1A, a promising target with the potential for broad therapeutic application across multiple indications. Under a separate and independent agreement announced in 2023, Teva is co-developing and, subject to regulatory approval, will be co-commercializing this asset with Sanofi. Duvakitug is currently in phase 3 clinical studies for the treatment of UC and CD. Both companies recently announced phase 2b duvakitug maintenance data demonstrating clinically meaningful durable efficacy in UC and CD.

“We are excited to partner with Teva and support their innovation priorities as they advance a critical new product to patients who have significant unmet need,” said Dr. Nicholas Galakatos, Global Head of BXLS. “This transaction further demonstrates our focus on partnering with leading biopharmaceutical companies to execute their growth initiatives.”

“Duvakitug has the potential to be a best-in-class therapy in a large and growing space, and the Teva and Sanofi teams are well positioned to develop and commercialize this important medicine,” said Paris Panayiotopoulos, Senior Managing Director, BXLS. “In line with our mission, we are delighted to partner with Teva on their Pivot to Growth strategy and to help bring duvakitug to patients as soon as possible.”

Transaction Terms
Under the agreement, BXLS will provide Teva $400 million to fund ongoing and future development costs for duvakitug, spread over four years. As part of the funding arrangement and subject to the approval of duvakitug by the U.S. Food and Drug Administration (FDA), Teva will pay BXLS a milestone payment. BXLS will also be eligible to receive commercial milestones and low single-digit royalties on duvakitug worldwide sales, subject to customary terms and conditions.

About IBD
IBD is an autoimmune disorder characterized by chronic inflammation of the gastrointestinal (GI) tract. Globally, approximately 4.9 million cases of IBD have been identified, with incidence rising in several regions. The two main types of IBD are UC and CD, which are characterized by repetitive cycles of relapses and remission. Common symptoms of both conditions include persistent diarrhea, rectal bleeding, abdominal pain, loss of appetite, and weight loss.

Prolonged inflammation can lead to damage within the GI tract, including fibrosis, a common complication of IBD characterized by an excessive accumulation of scar tissue in the intestinal wall, which may cause narrowing and obstruction.

Currently, there is no cure for IBD. The goal of current treatment is to induce and maintain remission and prevent flares.

About duvakitug
Duvakitug, a human monoclonal antibody targeting TL1A, is currently in phase 3 clinical studies for the treatment of UC and CD. TL1A signaling is believed to amplify inflammation and drive fibrosis associated with IBD through binding to its receptor, DR3. Duvakitug preferentially inhibits TL1A-DR3 signaling over DcR3 (decoy receptor 3) binding, with the potential to reduce inflammation and fibrosis.

The safety and efficacy of duvakitug have not been reviewed by any regulatory authority.
Under a separate and independent agreement announced in 2023, Teva is co-developing and, subject to regulatory approval, will be co-commercializing this asset with Sanofi.

About Teva
Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) is transforming into a leading innovative biopharmaceutical company, enabled by a world-class generics business. For over 120 years, Teva’s commitment to bettering health has never wavered. From innovating in the fields of neuroscience and immunology to providing complex generic medicines, biosimilars and pharmacy brands worldwide, Teva is dedicated to addressing patients’ needs, now and in the future. At Teva, We Are All In For Better Health. To learn more about how, visit www.tevapharm.com.

About Blackstone Life Sciences
Blackstone Life Sciences (BXLS) is a leading private investment platform with capabilities to invest across the life cycle of companies and products within the key life science sectors. By combining scale investments and hands-on operational leadership, BXLS helps bring to market promising new medicines and medical technologies that improve patients’ lives and currently has $15 billion in assets under management.

Teva Cautionary Note Regarding Forward-Looking Statements
This Press Release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on management’s current beliefs and expectations and are subject to substantial risks and uncertainties, both known and unknown, that could cause our future results, performance or achievements to differ significantly from that expressed or implied by such forward-looking statements. You can identify these forward-looking statements by the use of words such as “should,” “expect,” “anticipate,” “estimate,” “target,” “may,” “project,” “guidance,” “intend,” “plan,” “believe” and other words and terms of similar meaning and expression in connection with any discussion of future operating or financial performance. Important factors that could cause or contribute to such differences include risks relating to: our ability to execute the agreement with Blackstone Life Sciences and to successfully develop and commercialize duvakitug (anti-TL1A; TEV-’574) for the treatment of ulcerative colitis and Crohn’s disease; our ability to successfully compete in the marketplace, including our ability to develop and commercialize additional pharmaceutical products; our ability to successfully execute our Pivot to Growth strategy, including to expand our innovative and biosimilar medicines pipeline and profitably commercialize the innovative medicines and biosimilar portfolio, whether organically or through business development, and to execute on our organizational transformation and to achieve expected cost savings; and other factors discussed in our Annual Report on Form 10-K for the year ended December 31, 2025, including in the sections captioned “Risk Factors.” Forward-looking statements speak only as of the date on which they are made, and we assume no obligation to update or revise any forward-looking statements or other information contained herein, whether as a result of new information, future events or otherwise. You are cautioned not to put undue reliance on these forward-looking statements.

Teva Media Inquiries
TevaCommunicationsNorthAmerica@tevapharm.com  

Teva Investor Relations Inquires
TevaIR@Tevapharm.com

Blackstone
David Vitek
(212) 583-5291
David.Vitek@blackstone.com

FAQ

What did Teva announce on March 3, 2026 regarding duvakitug (TEVA)?

Teva announced a $400 million funding deal with Blackstone Life Sciences to support duvakitug over four years. According to the company, the funding covers ongoing and future clinical development costs.

How will the $400 million from Blackstone Life Sciences be paid to Teva (TEVA)?

The $400 million will be provided over a four-year period to fund development costs. According to the company, payments are structured to support ongoing and future clinical activities.

What commercial terms did Teva (TEVA) disclose for the duvakitug deal with Blackstone Life Sciences?

Blackstone Life Sciences is eligible for regulatory and commercial milestones plus low single-digit royalties on worldwide sales. According to the company, milestones are subject to customary terms and FDA approval.

What is the development status of duvakitug mentioned by Teva (TEVA)?

Duvakitug is in phase 3 clinical studies for ulcerative colitis and Crohn’s disease. According to the company, prior phase 2b maintenance data showed clinically meaningful durable efficacy.

Does Teva (TEVA) have any co-development or commercialization partners for duvakitug?

Yes, Teva is co-developing and, subject to approval, will co-commercialize duvakitug with Sanofi under a separate agreement. According to the company, this arrangement remains independent of the BXLS funding.

What conditions must be met for BXLS to receive milestone payments in the TEVA duvakitug deal?

Milestone payments to BXLS are contingent on regulatory approval by the U.S. FDA and other customary conditions. According to the company, payment triggers depend on successful regulatory outcomes.