Healthcare News: Following Novartis M&A deal, a new RNA company rises

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Atrium Therapeutics Aims to Treat Two Rare Cardiac Conditions

The deal
Atrium Therapeutics debuted, spinning out of Avidity Biosciences. The launch follows Novartis's close of the $12 billion acquisition of Avidity, whose two most advanced programs are for neuromuscular disorders. The former Avidity programs now under Atrium include two preclinical RNA therapies for rare inherited cardiac conditions that have no FDA-approved treatments. Avidity provided Atrium with $270 million in cash. It's now publicly traded under the stock symbol "RNAM."

The drugs
Avidity specialized in a type of RNA therapy called an antibody oligonucleotide conjugate, or AOC. These drugs leverage the targeting ability of an antibody to deliver RNA. Atrium's AOC program for kinase AMP-activated non-catalytic subunit Gamma 2 syndrome is on track for an investigational new drug application (IND) filing in the second half of this year. A second program, for phospholamban cardiomyopathy, is expected to be ready for an IND filing next year.

Why it Matters
Acquiring Avidity fits with Novartis's strategy of growing its genetic medicines capabilities, particularly in RNA medicines. Avidity's clinical-stage neuromuscular therapies for Duchenne muscular dystrophy and myotonic dystrophy type 1 complement a Novartis portfolio that includes Zolgensma, a gene therapy for Duchenne. But Avidity also had research collaborations with Bristol Myers Squibb and Eli Lilly. Novartis executives said spinning off Avidity's preclinical cardio research would be the most straightforward way to deal with the collaborations tied to those assets. Atrium is led by CEO Kathleen Gallagher, who was previously Avidity's chief program officer.

Soundbite
"Patients and families facing these genetically driven rare cardiomyopathies have few if any options that address the underlying cause," Gallagher said. "Building on Avidity's pioneering work in targeted RNA delivery, Atrium is positioned to advance precision medicines designed to directly target the biologic drivers of cardiac disease."

—By Frank Vinluan

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Health Gorilla Files Motion to Dismiss Epic Lawsuit

The skinny
Health data network Health Gorilla has filed a motion to dismiss a lawsuit brought earlier this year by Epic and several health systems alleging improper access to patient records. The motion, filed last Thursday, called Epic's lawsuit "an attack on interoperability."

The case at hand
The dispute highlights ongoing ambiguities around healthcare data interoperability and governance. Experts think the lawsuit is less about targeting a single bad actor and more about establishing clear, standardized rules for how patient information can be accessed and shared.

Epic filed its complaint on January 13, alleging that Health Gorilla allowed other companies to improperly access and monetize nearly 300,000 patient records — a claim Health Gorilla denies. The plaintiffs include Epic, Trinity Health, UMass Memorial Health, Reid Health and OCHIN.

According to the complaint, Health Gorilla and affiliated companies created fake healthcare providers, shell websites, and provider IDs to make data requests appear legitimate, while diverting records for non-treatment purposes such as marketing to lawyers. The defendants also allegedly inserted false information into records to obscure their actions, risking patient safety and wasting clinician time. When exposed, they purportedly launched new companies to continue the same practices, operating "like a Hydra."

What Health Gorilla said
In its motion to throw out the case, Health Gorilla argued that the dispute should be handled through the networks' built-in governance and dispute resolution processes rather than federal litigation. The company also said it cooperated with months-long investigations into the issue, and it maintains that Epic's lawsuit threatens the stability of national data sharing systems used by providers.

"Epic tries to paint itself as a good actor because it has come under sustained criticism and inquiry from regulators and private plaintiffs for its widespread unfair business practices, and it desperately needs a distraction from its primary goals, which are to continue enriching itself at the expense of patients nationwide. The case should be dismissed," Health Gorilla's motion stated.

What Epic said
"Medical records are deeply personal and exploiting them is wrong. In their motion, Health Gorilla asserts that they should be dismissed as a defendant in the lawsuit because they had 'lack of actual knowledge' of wrongdoing. That is not an acceptable reason — Health Gorilla had a responsibility to safeguard sensitive patient data and know why it was being taken," an Epic spokesperson said in a statement sent to MedCity News.

The EHR giant added that the public deserves a complete investigation and resolution in federal court rather than behind closed doors.

— By Katie Adams

GoodRx Launches Employer Program

The skinny
GoodRx, a prescription savings platform, introduced GoodRx Employer Direct on Tuesday, an offering that allows employers to lower the cost of certain brand medications like GLP-1s.

GoodRx Employer Direct
With GoodRx Employer Direct, employers can choose high-cost brand medications — like Wegovy — and directly subsidize the manufacturer sponsored price on GoodRx. They can do this without adding the medication to their insurance benefit, and the subsidized amount is automatically applied at the pharmacy counter.

This model was first launched at the start of the year with employer client Hy-Vee, a midwestern grocery chain.

"As an employer, we're constantly looking for ways to make our health benefits more impactful and easier to use," said Angie Nelson, vice president at Hy-Vee, in a statement. "GoodRx Employer Direct gives us the flexibility to support access to high-impact medications while keeping our overall plan structure intact. It's a practical way to invest in the therapies our employees need most and ensure they see real savings when they fill their prescriptions."

Soundbite
"Our ultimate goal would be to help as many patients as we can afford the therapies that they need, especially as patients are shouldering so much more of the burden of their overall health care," said Laura Jensen, chief commercial officer and president of pharma solutions at GoodRx. "We think we can step into this moment and help them."

— By Marissa Plescia

Solving the Psychological Safety Problem in Healthcare

More than just physical
Workplace violence is often treated as a physical security problem to be 'contained'. But the reality is, exposure to violence extends far beyond physical threats. Addressing violence in healthcare as solely a security issue leaves out a critical aspect of harm: the psychological impact of violence on healthcare workers.

Psychological safety isn't just a "culture" metric; it is the foundation of a functional workforce. When clinicians operate in a constant state of hypervigilance, it presents as anxiety, burnout, and disengagement from their role. These effects can linger for months or years, shaping how people show up to work or whether they stay at all.

Burnout is a symptom
For many workers, burnout is the downstream result of unresolved psychological harm — especially in environments where violence is treated as "part of the job." Over eighty percent of nurses had experienced workplace violence in 2023, and more than 45% of physicians in a Stanford University survey reported at least one symptom of burnout. For healthcare executives, this should illuminate a workforce crisis.

When 68% of physicians feel their employer's response to violence is insufficient, they don't just feel unsupported— they start looking for the exit. To protect the future of care, healthcare organizations must shift their approach to safety from "incident response" to one that creates a proactive, supportive environment for caretakers. Repeated exposure to an unsafe environment also creates chronic stress. Over time, healthcare workers may become guarded with patients and visitors, avoid certain units or shifts, or disengage emotionally as a form of self-protection.

Emotional harm cannot be normalized
At a time when healthcare systems are grappling with persistent workforce shortages, the psychological effects of violence cannot be treated as incidental. When emotional harm is normalized, workers lose trust in leadership, in systems, and in their ability to sustain long-term careers in healthcare.

Failing to address workplace violence has consequences that reach far beyond any single incident. Viewing the issue through a psychological safety lens isn't about eliminating every possible risk; it's about mitigating the lasting harm violence inflicts on the workforce.

— By MedCity Influencer Andrea Greco

Pivot Podcast Tackles Men's Health and Testosterone Replacement Therapy

Why is Testosterone Therapy Regulated?
Shalin Shah, CEO of Marius Pharmaceuticals, explains that a doping scandal in the Olympics led Congress to regulate the use of testosterone as a controlled substance. In fact, concerns about the use of steroids allowed Congress to pass the Anabolic Steroids Control Act of 1990, lumping in testosterone with steroids. This act classified testosterone as a Schedule III controlled substance. Marius Pharmaceuticals makes an FDA-approved oral drug that is approved to treat adult men with low or no testosterone levels due to certain medical conditions.

Currently testosterone is regulated as if it were an opioid, Shah said.

Why did the FDA hold a hearing about Testosterone Replacement Therapy?
Shah, who testified at the hearings, said the concerns about the drug are overblown and in reality, TRT therapy for men who produce low or no testosterone, has numerous benefits. He said studies have shown the benefits on TRT around diabetes therapy and the prevention of diabetes or the remission of diabetes.

Meanwhile, testosterone's potential for increasing cardiovascular risk is not backed by evidence. Shah pointed to the Traverse study, which was the largest randomized placebo controlled trial ever done on testosterone therapy, which showed there is no cardiovascular risk tied to testosterone therapy. Results were published in the NEJM in June of 2023.

So the FDA wants to hear the science and gather the evidence to perhaps make a decision to deschedule the drug. The Trump administration was the one to change the recommendations on hormone replacement therapy for women after many women avoided HRT because of a perceived cancer risk due to the 2002 Women's Health Initiative study.

Soundbite
"WHI was a flawed study. From the get go, it basically caused hysteria around female hormones, and two decades of females have lost out on hormone therapy because of the flawed headlines that came out of there. Any other administration could have changed this. But this one did for the benefit of the female population," Shah said.

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Monday, 2 March 2026

Following Novartis M&A deal, a new RNA company rises